SG Morning Highlights | CDL Sells Unsold Units at The Residences at W Sentosa at 40% Discount

Singapore shares opened lower on Thursday. The $FTSE Singapore Straits Time Index (.STI.SG)$ dropped 0.86 percent to 3,209.71 as at 9.04 am.

$CityDev (C09.SG)$: Cityview Place Holdings, a unit of property developer City Developments Ltd (CDL), plans to sell 58 units at The Residences at W Singapore Sentosa Cove this month. These unsold units were "specially curated" and offered at an attractive price for a limited period, with prices starting at S$2.1 million for a two-bedroom unit and going up to S$3.5 million for a four-bedroom unit. This move follows an increase in interest and sales activity in Sentosa Cove properties in recent months, according to a spokesperson from Cityview Place Holdings. The 99-year leasehold luxury development was completed in 2011 and houses 228 residential units. Most of the units were leased between 2011 and 2024, with rents ranging from S$4.49 to S$6.97 per square foot per month. The current sales prices represent a discount of around 40% from the launch prices in 2010.

$Frasers Property R (IOQR.SG)$: Frasers Property (FPL) has announced that it expects to report a significant decrease in attributable profit for the 1HFY2024 ended March 31 compared to the previous corresponding period. The decrease is due to the fair value losses and impairment that FPL expects to record for the half-year period, primarily on certain commercial properties in the UK. These losses and impairment are non-cash in nature and are the result of weaker market sentiments. FPL will release its unaudited 1HFY2024 financial results on May 10.

$ESR-REIT (J91U.SG)$: ESR-Logos Real Estate Investment Trust (REIT) is set to divest a logistics property in Altona, Victoria, Australia for A$65.5 million ($57.7 million). The sale consideration represents a 7.4% premium to its independent valuation of A$61 million as of December 31, 2023. The logistics property has a total net lettable area of 37,862 square metres and sits on freehold land. The net proceeds from the divestment will be used to repay the REIT's outstanding borrowings, finance potential acquisitions, and for asset improvement and redevelopment, in addition to potentially funding general working capital needs. The divestment is not expected to have a material impact on the REIT's net asset value and distribution per unit for the financial year ending December 31, 2024, according to the REIT manager.

$Sabana Reit (M1GU.SG)$: HSBC Institutional Trust Services (Singapore) Limited, acting as the trustee for Sabana Shari’ah Compliant Industrial REIT, has issued an important update to the REIT's unitholders regarding resolutions proposed by certain unitholders. The company is urging all unitholders to carefully review the information provided in relation to these resolutions, which will be discussed at an upcoming extraordinary general meeting. This update follows a series of previous statements and is intended to ensure unitholders are well-informed on matters affecting their investments. No additional details were provided in the release.

$LHN (41O.SG)$: LHN Facilities Management, a unit of LHN Group, has won the tender for a state property located at 260 Upper Bukit Timah Road, or the former Bukit Timah Fire Station. The company plans to turn the site into a "vibrant mixed-use development" that will feature co-living spaces and a variety of community-centric offerings, including a gym, pet-friendly spaces, bike rental facilities, community gardens, swimming classes, workshops, and more. The site will also house LHN's residential co-living space concept, Coliwoo, as part of the group's expansion plan in the co-living business. The co-living serviced apartments and shared public spaces are expected to open in the first half of 2025. LHN intends to spruce up the existing structure of the buildings without major redevelopment works, in accordance with prevailing guidelines. The company will also incorporate environmentally friendly features throughout the premises, including renewable solar energy systems, water and energy conservation fittings, and low-carbon mobility initiatives such as bicycle facilities and electric vehicle fast-charging points.