Thg seems to be in a buying spree with its strong cash horde...
Singaporean watch retailer The Hour Glass seizes prime Sydney CBD site
THE AUSTRALIAN OCTOBER 31, 2014 12:00AM
Greg Brown
Property Reporter
Sydney
Supplied Editorial 192 Pitt Street
The property at 192 Pitt Street is opposite Pitt Street Mall and Westfield Sydney and was purchased for $32.8 million. Source: Supplied
SINGAPORE-listed luxury watch retailer The Hour Glass has emerged as the buyer of a prominent retail building on the corner of Pitt and Market streets in the Sydney CBD.
The property at 192 Pitt Street is opposite Pitt Street Mall and Westfield Sydney and was purchased for $32.8 million.
The Hour Glass director Michael Tay said the building was in one of the world’s fastest-growing luxury retail corridors.
“We are excited by the prospects, the heritage status of the building offers and feel extremely privileged to be the new owner of this property,” Mr Tay said.
While the group will initially hold the building as an investment, it is believed it eventually wants to open its own store there. The deal was brokered by Knight Frank and Colliers International.
Knight Frank senior director Dominic Ong said the building could be turned over entirely to retailing in the future with one store across its six levels.
“The vertical retail concept is very popular in Asia, in Japan and Hong Kong where land is very limited in the prime retail area,” Mr Ong said.
There has been more action in Sydney from Singaporean players. The listed hotel arm of Far East Organisation announced it would join forces with Toga to develop a mixed-use project on the site on the waterfront in Balmain.
The Australian reported in August that Toga had acquired the property for $58m, in a deal handled by Knight Frank.
About 192 Pitt Street, Sydney - An oasis in the centre of the CBD
• Prominent corner position in the vibrant Sydney CBD precinct, directly opposite Pitt Street Mall and Westfield Sydney
• Huge exposure to pedestrian traffic with
excellent transport links nearby
• Arguably one of Australia's busiest intersections
• 100% occupancy with a net income of $1,153,000 pa*
• Total NLA of 1,027 sqm*, WALE 2.9 years*
• Substantial opportunity for positive rental reversion
• Extremely rare freehold investment, first time offered in 23 years
Land Area : 186 sqm
Floor Area : 1027 sqm
Source:
http://search.knightfrank.com.au/1733072...hOLjp.dpuf
The Hour Glass Q2 profit up 24% to S$11.75m LINK
13 Nov7:31 PM
THE Hour Glass on Thursday said its net profit for the fiscal second quarter ended Sept 30, 2014, rose 24 per cent year on year to S$11.75 million, or five cents per share.
Revenue rose 3 per cent to S$164.83 million.
For the six months to end-September, profit rose 10 per cent year on year to S$20.12 million, on turnover of S$321.84 million.
Earnings per share for the half year were 8.56 cents, up from 7.77 cents a year ago.
This company has fantastic run. My only concern is the ever increasing "Stocks" valued in the current asset will some day come back to bite us. How are they valued or adjusted ? What are they ? I do note that Rev did not increase as dramatic.
Just dressing up the counter to prepare for the 1 : 3 stock split, coupled with the coming end of the year window dressing...
(14-11-2014, 12:59 PM)corydorus Wrote: [ -> ]This company has fantastic run. My only concern is the ever increasing "Stocks" valued in the current asset will some day come back to bite us. How are they valued or adjusted ? What are they ? I do note that Rev did not increase as dramatic.
That is where why "THG" is worth to be invested. Luxury watches tend to have values. If they are holding 'investiable' watches invetory, better still - the older they are, the more valuable they become.... Their stocks are not perishable goods. It is a trend that many yuppies like to invest in luxury watches for they see the values may increase over time. Crabcrab begs to differ. Rather than investing in luxury watches, it will be more interesting to invest in a company that sells luxury watches with those luxury watches as their inventory.
I will rather keep those Rolex or Patek Philippe with the company waiting to be sold, and the first hand value remains. Rather than to buy a Rolex or Patek Phillipe to wear and the value immediately halved... Hope the concern was addressed....
I don't know well enough to comment is good or bad. But with rev stagnant something seems doesn't add up.