Investor Relations

Investor Relations

The Singapore economy expanded by 14.5% in 2010 and 8.5% in Q1 2011. The robust economic performance together with the low interest rate environment have led to a strong property market. The property cooling measures announced by the Singapore government in January 2011 and the release of more government land sales in recent months are expected to slow down volume of property transactions in the coming months. We remain vigilant and cautious in our cost control and land tendering activities. We will continue our efforts to search for new projects and businesses that will generate consistent revenue and profitability streams.

During the year we have substantially completed the construction of Hard Rock Hotel at Sentosa, Meritus Mandarin Hotel at Orchard Road and nex mega shopping mall at Serangoon Central. The Group secured a construction project at 6 Battery Road for $62.5 million.

Property development will continue to recognize profits from projects launched and sold by our joint ventures and associated companies. The 1,145 units Minton at Hougang was launched in May 2010 and we have sold 550 units as of March 2011. During the year, we won a HDB tender to develop about 650 units under the Design, Build and Sell Scheme at Upper Serangoon Road. It is expected to complete by 2014. In addition we have successfully tendered in April 2011 for a URA land parcel at Paya Lebar Road/Eunos Road 8 via a joint venture with Guthrie GTS and Sun Venture groups of companies where we hold majority stake.

The proposed development for the site with gross floor area of 671,452 square feet will comprise of office and retail components. The project is estimated to be completed by 2018 and will complement the other developments already located or planned for Paya Lebar Central which include Certis Cisco Centre, Singapore Post Centre and the National Continuing Education and Training Centre (CET) East Campus. We will continue to focus on our core business and explore opportunities to expand our property investment and development business.

Duxton Hotel Perth and Duxton Hotel Saigon are expected to perform well in view of the recovery in the economies of Western Australia & Vietnam respectively.