City Dev

City Dev (CDL): On its new partnership (PPS) with Blackstone and CIMB in relation to CDL's properties in Sentosa Cove, management indicated that the PPS has assumed the residential units of the Quayside Collection to be sold at no less than S$2,400psf, implying c.$500m valuation for the commercial component. With the guidance, all valuations previously assumed by Deutsche are substantially above in its RNAV estimates. House sees c. $0.35/share increase in its RNAV estimates from $14.10/share. CDL remains Deutsche's top pick with TP of $12.00.