Leading property developer plans for NT$100 billion worth of projects in '14
December 29, 2013, 12:07 am TWN
TAIPEI, Taiwan -- Shining Building Business Co., one of Taiwan's leading construction companies, is aiming to launch nearly NT$100 billion (US$3.33 billion) in new property development projects across the Taiwan Strait in 2014.
In a year-end news conference held Friday, Shining Chairman Lai Cheng-I said that in a bid to boost its bottom line, the property developer is planning to launch more than NT$30 billion worth projects in Taiwan and about NT$62.5 billion in China.
In 2013, Shining unveiled NT$30 billion in property projects in Taiwan, achieving its goal for new project launches to generate sales for the year.
In the first 11 months of this year, Shining posted NT$5.59 billion in consolidated sales, up 44.63 percent from a year earlier on the back of the large new property projects. In the first nine months of this year, the property developer registered a net profit of NT$1.36 per share.
Lai said although the U.S. Federal Reserve announced on Dec. 18 that it will start scaling down its monthly US$85 billion bond-buying program by US$10 billion in January, the pace of tapering will be moderate and will not likely impose material impact on market liquidity as well as the property market.
He said Taiwan is scheduled to hold elections at local government levels at the end of this year, which could make many home buyers cautious amid political uncertainty, but he believes local governments will come up with measures to boost their economic fundamentals to secure a win in the elections, therefore the political impact could be limited.
He added that as the Cabinet has decided to fine tune the luxury tax that took effect in June 2011 with the aim of curbing high home prices, he remained upbeat about the market outlook.
Still, Shining is expected to unveil its new projects in Taiwan by the end of the third quarter to avoid possible negative effects from the upcoming elections, Lai said.
In Taiwan, Lai said his company will still concentrate its resources on launching new residential projects in Taipei City and New Taipei City, including several urban renewal development plans in the two cities.
Districts in the two cities, like Beitou, Zhongshan, Wanhua, Banciao, Xinzhuang, Zhonghe will see Shining's new projects unveiled, while the company is also planning to launch projects in Taichung City.
In China, Shining will intensify efforts in developing residential and commercial property projects after the company kicked off its development plans in Qingdao, Nanjing, Guilin and Chengdu .
Lai said his company will launch 4 billion Chinese yuan (US$656 million) and 5.5 billion yuan in new projects in Nanjing and Qingdao, respectively, in 2014, while it will introduce new projects worth 3 billion yuan in Chengdu next year.