ABSD and QC charges (again?)

Updates from the previous post here.

What was interesting from the tables below was that the smaller property developers ie Hock Lian Seng (HLS) and KSH are in net cash for their debt-to-equity ratio (HLS was recently came under my watchlist. There was a bit of buzz around it but I will leave that for another post later)

Singapore Land (SL) has  two projects – Pollen & Bleu and Mon Jervois. These are in good districts aka atas area (CCR and OCR), hence selling price is beyond the reach of the masses. SL will take a ABSD hit in 2017 of 75% and 12% respectively of their revenue. (fyi, SL belongs to UIC)

Wheelock (WL) also has a few atas projects under its belt, Le Nouvel (dont understand why all these atas project need to have Le this or Le that. ), Ardmore 3, The crest.

Furthermore, the budget last week, did not have any goodies for the property developers, which they were, somewhat, hoping for.

So what does all these mean? For myself, I will be looking closely at the smaller cap property developers. I believe, some of the property plays have been beaten down and worth to take a look, although there are also some of them which actually did run up abit but whether they have more legs to run, will depend  in the coming weeks/months, and see what unravels.

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4 thoughts on “ABSD and QC charges (again?)

  1. I hold Bukit Sembawang and Hock Lian Seng. HLS is relatively save as they start to focus on infrastructure moving forward. As for Bukit Sembawang, they have a lot of free land from the olden days to build and earn from it – thus, there is some safety there as well.

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  2. Hi TUB,

    I agree with HLS, they do have potential, and they are also not as well known or popular as their other peers. Only possible sticking point, are their low volumes.

    I can’t say much for BS, as i haven’t done much research on it. (but i do like their property. cant afford it though!)

    thanks for dropping by. and your valuable inputs!

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