Highlights

SGX Stocks and Warrants

Author: kimeng   |   Latest post: Wed, 25 Apr 2018, 12:13 PM

 

SG Residential Sector: Collective Sales Market Heating Up

Author:   |    Publish date:


Last week, MCL Land agreed to acquire Eunosville through a collective sale transaction for S$765.8m, which including an estimated S$194m differential premium translates to a bullish S$909 psf ppr.

Coming on the heels of the Oxley-led consortium’s en-bloc acquisition of Rio Casa for S$575m, Eunosville is the fourth enbloc transaction to date and brings the year-todate total to S$1.5b – already past the S$1.0b and S$380m annual totals seen in 2016 and 2015, respectively.

We expect to see more collective sales this year as developers move quickly to replenish their landbanks, which for many now lie at multi-year lows given falling home prices since 2014.

Through our channel checks, buyer sentiments appear to have improved after the latest tweaks to the property curbs in March where some measures relating to the SSD and the TDSR were relaxed.

We believe these changes were, on a net basis, supportive of the physical market and continue to forecast for home prices to reach an inflection point by 2018.

We maintain a BUY rating on the property sector and our top picks are CapitaLand [BUY, FV: S$4.07], Wing Tai [BUY, FV: S$2.37] and Wheelock Properties (SG) [BUY, FV: S$2.27].

Source: OCBC Research - 5 Jun 2017

Share this

Related Stocks

Chart Stock Name Last Change Volume 
CapitaLand 3.74 +0.02 (0.54%) 8,232,000 
Wing Tai 2.03 -0.02 (0.98%) 740,000 
Wheelock Prop 1.81 -0.01 (0.55%) 148,000 

Market Buzz

Stock Date Type Subject
CapitaLand 24-Apr-2018 Announcement Financial Statements and Related Announcement::First Quarter Results
CapitaLand 24-Apr-2018 Announcement Financial Statements and Related Announcement::First Quarter Results
CapitaLand 20-Apr-2018 Announcement Financial Statements and Related Announcement::First Quarter Results
Wing Tai 23-Apr-2018 Announcement General Announcement::Routine Quarterly Report on MTN Programme

  Be the first to like this.
 


 

135  176  209  553 

ActiveGainersLosers
Top 10 Active Counters
 NameLastChange 
Partners & Brokers