CapitaLand trims its Singapore inventory amidst subdued residential market

The latest was the bulk sale of the remaining units in The Nassim.

With the property sector's challenging environment, property developer CapitaLand is doing all it can to remain unflinching.

According to RHB, it has been trimming its inventory with the latest bulk sale of the remaining 45 units in The Nassim, reaping a gain of $161m from sales.

More so, it launched its Stay-Then-Pay programme to move sales at D’Leedon, The Interlace and Sky Habitat.

"Overall, it has been cautious in replenishing its depleting Singapore land bank and has been deploying capital mainly in overseas markets," RHB noted.

Meanwhile, CapitaLand has been pursuing an asset-light strategy of building up private real estate funds, expanding its serviced residence and retail portfolio through management contracts and acquiring accretive income-producing assets.

"While the moves are a step in the right direction, we believe CapitaLand would need a few more years before it can achieve its sustainable ROE target of 8-12%," RHB stated.