One of Asia’s leading developers CapitaLand has reported a 36.6 percent decline in net profit to S$294 million in second quarter of 2016, due mainly to lower fair value gains from property revaluation, partially mitigated by earning improvement in operating performance.
However, the revenue of CapitaLand increased by 9.7% to S$1.131 billion on higher contributions from projects in Singapore and China, as well as from its CapitaGreen office development and higher income of rental from its serviced residence business.
Sales in residential development contributed the higher revenue to the group included Vermont Hills in Beijing, The Paragon in Shanghai and Cairnhill Nine in Singapore.
Launched last March 2016, the Cairnhill 9 Nine condo project in the area of Orchard has sold 78%, or 208 out of 268 total units as of today.
Regardless of Singapore muted residential market, CapitaLand found home buyer for 304 units during the first six months of 2016, or almost 3 times the 106 units being sold during the same period last 2015.
CapitaLand recently started the private preview for 109-unit Victoria Park Villas, a cluster housing development located at Coronation Road, to draw interest from potential home buyers.
According to the CEO of CapitaLand Singapore, Wen Khai Meng, Victoria Park Villas is plans to officially launch after the Ghost Month.
Overall, the CapitaLand has already sold over 7,000 homes this 2016, a nearly S$2.62 billion total sales value.