CITY Developments Limited (CDL) and its joint venture associates recorded S$611.1 million in sales for the third quarter ended Sep 30, 2024, from 321 units sold, up from S$325 million and 183 units in the same period last year.
Sales were primarily bolstered by the launch of Kassia, a 276-unit freehold development located off Upper Changi Road North. Launched in July, the project has sold 65 per cent of its units, or 179 units, to date, CDL said in a bourse filing on Friday (Nov 22).
For the nine months ended Sep 30, CDL and its joint venture associates sold 905 units, generating a total sales value of S$1.8 billion, compared with S$1.4 billion from 691 units in the previous year.
“The group’s other launched projects continued to sell well,” CDL said. To date, the 638-unit Tembusu Grand at Katong has sold 581 units (91 per cent), while The Myst at Upper Bukit Timah Road has sold 297 of its 408 units (73 per cent).
CDL launched the 348-unit Norwood Grand at Champions Way in Woodlands in October, selling 292 units, or 84 per cent, during its launch weekend at an average price of S$2,067 per square foot (psf).
In November, it introduced the 366-unit Union Square Residences at Havelock Road in District 1. During the launch weekend, 80 units were sold at an average price of about S$3,200 psf. To date, 95 units, or 26 per cent of the development, have been sold.
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“With a moderation in interest rates, market activities have resumed and residential sales have picked up after the seasonal lull in September, which coincided with the Hungry Ghost Festival,” CDL said.
It plans to launch The Orie, a joint venture project, in the first quarter of 2025. The 40-storey twin-tower development at Lorong 1 Toa Payoh will feature 777 units and is located within a five-minute walk of Braddell MRT station. It will be the first private residential launch in the area in over eight years, CDL said.
As at Sep 30, the company’s net gearing ratio stood at 70 per cent, following acquisitions this year, including the Hilton Paris Opera hotel and four private rented sector properties in Japan.
Looking ahead, CDL noted that early signs of interest rate moderation are boosting buyer sentiment and transaction activity, potentially signalling a turning point for the property market while reducing its financial burden.
Singapore’s residential market saw a “notable uptick” in sales from Q3, CDL noted, driven by improved interest rates and pent-up demand. In November, around 2,000 units – excluding executive condominiums – were sold across five launches, including Union Square Residences, marking the highest monthly sales since March 2013.
CDL’s office and retail portfolio in Singapore, the UK and Thailand remains “resilient” with high occupancy rates. The completion of asset enhancement works at City Square Mall in 2025, supported by strong pre-commitment rates, is expected to strengthen portfolio stability, CDL said.
The group anticipates year-on-year growth in its hotel portfolio, particularly in key markets such as Singapore, London and New York. It added that China’s recent fiscal stimulus measures could boost discretionary spending and travel demand from Chinese visitors – a key market for CDL’s hotels.
Shares of CDL closed S$0.02 or 0.4 per cent higher at S$5.14, prior to the announcement.
