Wee Hur

Wee Hur: (The Edge) Makes gains from property even as Thomson view is put on Hold. Cite that grp is not so affected by recent ppty cooling measures as its projects have been sold, and believe that there will still be demand for property, and as such grp is likely to focus on SG projects, even as some of its peers are seeking out new markets like Myanmar. Separately, grp’s local construction business is still going strong, buoyed by a strong pipeline of public housing projects and grp’s own dev projects, with an orderbook of $527.8m, up till 2015. Yet, the absence of a substantial dev project could hunger grp’s rev and profit growth. Although the key-catalyst for grp, still lies in the potential re- development of Thomson view Condo, which has been brought to the high courts, and a decision is expected to be out by April 29 (13 owners have complained that the offer undervalued the property). According to industry watchers, the redevelopments break-even cost would be $1000-$1100 psf and market prices could be about $1,300 psf, which could allow Wee Hur to make a profit of abt $200 psf or $200m in total.