Far East Orchard bags $4.3m from Woods Square project

The JV development obtained a temporary occupation permit in February.

Far East Orchard garnered $4.3m profit from its joint venture Woods Square development project as of 31 March, the company revealed in a bourse filing. As of this date, 62% of the 208 launched units for sale have been sold.

Woods Square, a joint development with Far East Organization and Japan-based Sekisui House in Singapore, obtained a temporary occupation permit (TOP) in February. All the office units at its Tower 1 are for sale, whilst office units at Tower 2 and retail units are for lease.

In August 2019, Far East Management (Private) Limited, a member of Far East Organization, bought three office units with an aggregate area of around 6,796 sqm located at Tower 2.

Meanwhile, the development of its Westminster Fire Station in London is ongoing, which is expected to be completed in 2021. The company assured that the project team is working towards the revised deliverables for completion.

“We are closely monitoring the pandemic and political situation before considering the sale launch. We will consider delaying the launch of Westminster Fire Station until confidence in the market returns,” Far East Orchard said following a query from shareholders.

The company’s hospitality business in Singapore, Australia and Germany saw a significant drop in demand, and its purpose-built student accommodation (PBSA) business in the UK has been affected by early tenancy cancellations for the last semester after university closures. These cancellations are estimated to impact its revenue by $5.16m (£3m).