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The net profit of Perennial Real Estate Holdings soared by over three-fold to S$38.7 million in the first quarter of this year compared to S$8.5 million in the same period a year ago.
“The increase was mainly due to the divestment gain from the sale of a 20.2 percent stake in TripleOne Somerset and the remeasurement gain from the retained 30 percent stake in the same property,” it said in an SGX filing on Monday (8 May).
However, revenue declined to S$20.2 million in Q1 2017 versus S$29.5 million in the first quarter of 2016 largely due to lower project management fees and softer rental revenue at TripleOne Somerset as the property has started its revamp to facilitate the strata sale of the medical suites and office space.
In Singapore, asset enhancement works are on-going at AXA Tower and TripleOne Somerset. The strata sale of office space and medical suites at both properties are also progressing well, with average prices hitting S$2,559 psf and S$2,700 psf respectively. Since the launch of the strata sales in Q3 2016, total strata sales at each property has reached S$41.0 million and $17.7 million respectively.
In China, construction works at Xi’an North High Speed Railway (HSR) Integrated project, Beijing Tongzhou Integrated Development and Chengdu East High Speed Railway (HSR) Integrated project have achieved good progress.
At Perennial International Health and Medical Hub (PIHMH), which forms part of Chengdu East HSR Integrated project, some units have been progressively handed over to medical tenants since end April 2017. The property’s overall occupancy now stands at around 60 percent and the development is targeted to open in phases from Q4 2017.
On Plot D2 at the same Integrated project, the last of six towers has topped out, while façade cladding works in three towers have been completed.
Meanwhile, Chengdu Xiehe International Eldercare and Retirement Home, which is expected to start operating in Phase 1, has obtained its first batch of deposits from prospective residents.
This article was edited by Denise Djong.
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