2011 kicked off on an exuberant note with the Singapore
economy reporting a robust growth of 9.1% in the first
quarter. However, the early positive outlook was muted
with global difficulties such as the European debt crisis,
concerns about the health of the US economy and
economic slowdown in China, and the tragic calamity
in Japan from its massive earthquake. For 2011, the
Singapore economy expanded by 4.9% on a year-on-year
basis.
During the year, the Government also introduced a series of property cooling measures aimed at ensuring a stable and sustainable property market, where prices moved in tandem with economic fundamentals.
STRONG SALES FOR CDL RESIDENTIAL DEVELOPMENTS
Despite the challenges, CDL’s performance in the property development segment for 2011 remained healthy with its strategic and timely residential launches, which were very well-received. CDL, along with its joint venture associates, achieved a commendable sales volume of 1,818 homes, which translates to a sales value of $1.755 billion.
The first quarter was marked by the successful launch of the nature-inspired 521-unit H2O Residences. Well-positioned in the heart of Sengkang New Town, 75% of the 200 units released during the private preview weekend were quickly snapped up. To date, the whole project is about 73% sold.
The Group launched a joint venture project in April known as Hedges Park, a 501-unit condominium nestled amongst tranquil surroundings at Flora Drive off Changi. The launch was well-received and to-date, 343 units have been sold.
In June, the luxurious freehold 64-unit Buckley Classique was launched. About 70% of launched units were sold during the private preview weekend. To date, it is over 90% sold.
There was overwhelming response for Blossom Residences, a 602-unit Executive Condominium (EC) sited within the Bukit Panjang locale and 150 units were sold on the first day of launch in July to eligible buyers. Nestled amongst lush greenery with panoramic views of nearby nature parks, 492 units have been sold to date.
The Palette also received a similar response from buyers when launched in November. In fact, 200 of the 300 units released were sold during the weekend preview. The 892-unit joint venture development is within walking distance of Pasir Ris MRT station and close to White Sands Shopping Mall. 530 units have since been sold.
ACCOLADES AND BUSINESS ACHIEVEMENTS
2011 was a defining year for CDL as efforts to measure its financial, environmental and social performance received both local and global recognition. Its key achievements include it being the only Singapore corporation listed in all three of the world’s top sustainability benchmarks – the Dow Jones Sustainability Indexes, the FTSE4Good Index Series and the Global 100 Most Sustainable Corporations in the World. Regionally, CDL was recognised for its tireless contributions to Corporate Social Responsibility (CSR), winning the ASEAN Business Award for “Most Admired ASEAN Enterprises” in CSR under the “Large Company” category.
ACQUISITIONS AND INVESTMENTS
As part of its selective land replenishment strategy
to procure quality sites at opportune times, many acquisitions in varied locations were made in 2011. In
Singapore, these include a $127.76 million 4,518.1 square
metre 99-year leasehold site at Robertson Quay, a $170.1
million 17,589.8 square metre 99-year leasehold EC site at
Choa Chu Kang Drive*, a $413.27 million 22,094.4 square
metre 99-year leasehold residential site at Bartley Road /
Lorong How Sun*, a $105 million 28,401.5 square metre
99-year leasehold landed housing site at Serangoon
Garden Way* and a $396 million 99-year leasehold 9,952.6
square metre residential site at Alexandra Road*.
*Joint ventures
In July 2011, CDL China Limited, the Group’s wholly-owned subsidiary, acquired its second development site in Suzhou, China for RMB886 million. The mixed-use prime site will comprise about 750 units of high-end residential apartments, an office tower, SOHO apartments, a retail mall and a luxury hotel.
HALLMARKS OF HOSPITALITY EXCELLENCE
With their sights on continued expansion, Millennium & Copthorne Hotels plc (M&C) and CDL acquired a land site in Ginza, Tokyo, Japan, with plans to build a 325-room deluxe hotel. The development will be project-managed by one of Japan’s biggest integrated real estate developers, Mitsui Fudosan Co. Ltd, under a co-branding arrangement between the “Millennium” and “Mitsui Garden Hotel” brands.
New additions to the M&C family include the Millennium Resort Mussanah in Oman which offers guests a panoramic view of a private marina in the pristine Gulf of Oman and the Millennium Plaza Hotel Dubai in the United Arab Emirates, strategically located in the heart of the city’s business district.
Locally, CDL Hospitality Trusts announced the acquisition of the Group’s newest Singapore hotel property, Studio M Hotel for $154 million. The sale was completed in May 2011.
Please refer to Highlights of The Year for key milestones and events.