KUCHING: SP Setia Bhd (SP Setia) recorded new sales of RM900 million as of March 22, according to the company’s president and CEO, Tan Sri Liew Kee Sin, AmResearch Sdn Bhd (AmResearch) reported.
SETIA WALK: One of SP Setia’s landmark developments located in Puchong.
SP Setia’s track record and strong branding would attract more demand should they be given the opportunity to purchase land in a more prime location, the research house said.
According to the research house, this strong growth was attributed to robust buying sentiment amid expected growth in income as well as Setia’s strong branding.
The main contributing projects were Setia Alam, Setia Eco Park both of which contributed half of the sales and Setia Walk in Puchong that saw a 60 per cent take-up for a second block of serviced apartment with average selling prices currently at RM350 per square feet (psf) from RM320 psf for the first phase, the research house added.
According to AmResearch, SP Setia was keen to participate in the government’s redevelopment plans particularly in Jalan Stonor, Jalan Lidcol, Jalan Ampang and RRI’s Sungai Buloh’s idle land.
At the same time, the group was expected to follow up on its success for its maiden high-rise condominium development in Jalan Tun Razak, with an average 80 per cent take-up with a selling price at RM760 psf, the research house added.
In addition, the research house highlighted that Sungai Buloh land, which spanned over 3,000 acres, possessed potential given the scarcity of prime land particularly in the Mutiara Damansara and Kota Damansara areas where only 30 to 40 acres of land were left for development.
The research house maintained its SP Setia fair price at RM4.84 per share on a 5 per cent premium to its estimated net asset value of RM4.61 per share.