Kai Tak’s appointment event only affects the atmosphere

Far Exhibition: Kai Tak’s appointment event only affects the atmosphere

Far East Development (00035) Managing Director Kong Xiangda believes that Hong Kong’s land supply is tight and real estate continues to do. The company cherishes its assets in Hong Kong and will not reduce its investment in Hong Kong. It will only become cautious when investing.

Do not reduce investment in Hong Kong, but turn cautiously

Earlier, Gao Yin Finance (00530) decided to open Kai Tak. Kong Xiangda said that the incident affected the market sentiment. I don’t think that a decision would affect the entire Hong Kong property market, and that real estate does not look at the political atmosphere. It mainly depends on the basic factors. The outlook for the Hong Kong hotel industry is still optimistic.

He pointed out that the company’s investment will be considered at a double-digit rate of return. From the current market bidding in Hong Kong, the rate of return is only a single unit. On the contrary, the return rate in overseas markets is better, so more resources will be placed. overseas market.

Good overseas returns, more resources to be launched

As for the British investment, Kong Xiangda said that Brexit has been brewing for some time, and the uncertainty caused the pound exchange rate to fall, which will drive the tourism industry and benefit the hotel business in London. In terms of property development, the company concentrated on buying land at low market points and has purchased land in the local area in the past two years. He also pointed out that London and Manchester have strong population growth, and there are many well-known universities that attract some Asian parents as their children in local businesses and become business opportunities for the company.

As of the end of March, the Far East earned 9.4% to 1.71 billion yuan. The revenue increased by 17% year-on-year to 6.84 billion yuan. The dividend for the year remained at 0.22 yuan, but the dividend payout ratio fell 1.7 percentage points to 30.2%. Kong Xiangda explained that the company will spend up to 200 million yuan to repurchase shares to shareholders in the next year, and the net book value per share of shareholders will increase. Far East closed at 3.51 yuan yesterday, up 0.6%.