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Fullerton Heritage, Singapore
Investor FAQs and Presentation
Home > Investor Relations > Sino Land Company Limited > Investor FAQs and Presentation
1. What are your principal business activities?

Our principal business activities comprise:

  • Development of properties for sale;
  • Property rentals;
  • Hotel operations; and
  • Property services, including estate management, cleaning, car park management and security.
2. How did your property sales perform for the six months ended 31 December 2016?
Total revenue from property sales for the six months ended 31 December 2016, including property sales of associates and joint ventures recognised by the Group, was HK$9,499.1 million (2015: HK$7,187.4 million). Total revenue from property sales comprises mainly the sales of residential units in Corinthia By The Sea, Dragons Range, Cluny Park, Botanica Bay, Mayfair By The Sea I and II, Providence Bay, Providence Peak, The Graces • Providence Bay and Marinella and to date, approximately 99%, 98%, 93%, 88%, 99%, 99%, 94%, 98%, 99% and 98% of their respective residential units have been sold.
3. How have been the sales of your major residential projects?

In addition to the sales of residential projects mentioned above, the Group launched the following projects in Hong Kong and to date, sales progress is summarised below:

Location

Group's
interest

Usage

Attributable
floor area

(square feet)

Percentage of
total number of
units sold (approx.)

The Mediterranean,
8 Tai Mong Tsai Road,
Sai Kung Town,
New Territories,
Hong Kong

100%

Residential

249,133

81%

Commune Modern,
28 Wo Fung Street,
Fanling,
New Territories,
Hong Kong

100%

Residential/
Commercial/
Car Park

209,907

98%

Park Mediterranean,
9 Hong Tsuen Road,
Sai Kung Tuk,
Sai Kung,
New Territories,
Hong Kong

100%

Residential 

173,796

46%

The Spectra,
8 Kwong Yip Street,
New Territories,
Hong Kong

40%

Residential

209,575

90%

     

 


842,411

 


In China, 215 residential units in The Palazzo in Chengdu were launched for sale during the Interim Period. To date, a total of 3,915 residential units in The Palazzo and 1,649 residential units in Dynasty Park have been launched for sale and approximately 90% and 99% of the units in the respective projects have been sold.

4. Which new projects in Hong Kong would be available for launch to the market in 2017/2018?

New projects for potential launches and the project details are summarised below:

Location
 
Group's interest
 
     Usage
 

Attributable
floor area

(square feet)

 
NKIL 6313, Kowloon Bay
 
30%   Commercial 147,058  
NKIL 6514, Kwun Tong Town Centre Development Areas 2 & 3, Kwun Tong
 
90%*   Residential 1,346,383  
Lot 1181 in DD 215, Sai Kung
 
100%   Residential 51,592  
TPTL 228, Pak Shek Kok 100%   Residential 412,530  
       

 


1,957,563

 

 
*Joint venture with the Urban Renewal Authority

5. How did your property rental business perform for the 6 months ended 31 December 2016?

Our gross attributable rental income increased 3.4% for the 6 months ended 31 December 2016 to HK$1,958.1 million (2015: HK$1,894.4 million) mainly due to higher rental rates on renewals and net rental income increased 4.2% to HK$1,715.9 million (2015: HK$1,646.7 million).

6. What is the Group's land banking replenishment plan?
The Group will maintain a policy of selectively and continuously replenishing its land bank, which will enable it to strengthen earnings and shareholders' value.

During the 6 months ended 31 December 2016, the Group acquired two sites from the HKSAR Government and the development rights of a site from Urban Renewal Authority of Hong Kong. Details of the projects are as follows:


Location

Group's
interest

Usage

Attributable
floor area

(square feet)

 

TPTL 228
Fo Yin Road,
Pak Shek Kok,
Tai Po,
New Territories,
Hong Kong

100%

Residential
 

412,530

 

AIL 462
Yip Kan Street and
Wong Chuk Hang Road,
Wong Chuk Hang,
Hong Kong

60%

Commercial
 

170,967

 

URA’s Demand-Led Project
NKIL6558
1-3B Kowloon Road/
1-5 Kiu Yam Street,
Sham Shui Po,
Kowloon,
Hong Kong

Joint Venture

Residential/Retail
 

52,571

 
     

 


636,068

 

 

Subsequent to the 6 months ended 31 December 2016, the Group was awarded the development rights to (i) build and manage a hotel, The Fullerton Hotel Ocean Park Hong Kong**, located at a site between Po Chong Wan and Tai Shue Wan within the Ocean Park boundary by the Ocean Park Corporation on 5 January 2017 and (ii) develop Site A of the Peel Street/Graham Street project by the Urban Renewal Authority of Hong Kong on 1 March 2017. The Group has 60% and 100% equity interest in the respective projects. Upon completion, the projects will provide approximately 262,017 square feet and 84,260 square feet of attributable gross floor area respectively.
 
**Official name yet to be confirmed

7. What is your development pipeline in China?

The Group has three projects in China mainly for residential developments with a total of approximately 16.0 million square feet of attributable plot ratio area. These projects are The Palazzo in Chengdu, Dynasty Park in Zhangzhou and Mayfair By The Lake in Xiamen.

8. What hotels do you have?

Our hotels comprise The Fullerton Hotel Singapore, The Fullerton Bay Hotel Singapore, The Olympian Hong Kong in West Kowloon, 50% interest in The Westin Sydney and 30% interest in Conrad Hong Kong.

9. What is your gearing and financial position?

As at 31 December 2016, the Group had cash and bank deposits of HK$28,074.5 million. After netting total borrowings of HK$5,098.1 million, the Group had net cash of HK$22,976.4 million as at 31 December 2016. Cash and undrawn committed credit facilities (including attributable share of associates and joint ventures) as at 31 December 2016 were approximately HK$30,838.9 million enabling the Group to be well-positioned to acquire land with good development value.

10. With your low gearing and strong financial position, how do you intend to use your cash?

We target to deploy our cash for the following purposes:

  • To replenish our land bank in both Hong Kong and China on a focused and selective approach for projects that have good development value;
  • To pay a stable dividend to our shareholders; and
  • To buy back shares of Sino Land which would be value accretive for shareholders.

  Investor Presentation