July | 2009 | Lush Dream Home

PROPERTY giant CapitaLand yesterday posted its first quarterly loss in six years and announced plans to raise $1.1 billion by issuing convertible bonds.

The money raised will be used primarily to refinance existing debts, said South-east Asia’s largest developer. Any balance left over will go towards new investments and working capital.

The firm announced a $156.9 million loss for the second quarter yesterday morning, its first red ink since the last quarter of 2003.

This was down from a net profit of $515.2 million in the same quarter last year. It was due to revaluations and impairment provisions for its office assets in Singapore, property in Australia and the former Char Yong Gardens estate here, CapitaLand said. Continue reading →

A bubble that’s a gleam in specuvestors’ eyes

Posted on 31 Jul 2009 | Comments Off

Mah Bow Tan’s caution aimed at averting pain later, property market watchers say

Better to suck out the froth now than to burst the bubble later – that was what market watchers saw as the government’s intention in warning against rash property purchases.

National Development Minister Mah Bow Tan said on Wednesday that there are signs of speculation in the property market, and the government will act if it overheats. He also urged home seekers to buy only within their means.

On the surface, the message may seem puzzling. By most accounts, speculators from the boom years – those who ‘flipped’ their freshly bought units in the subsale market for a quick profit – have yet to make a huge comeback. Price increases have surfaced only at some projects, while several others still registered price falls. Continue reading →