Singapore eDevelopment sells 35% of Texas land development project for $25.88m

It has received US$800,000 in deposits for 140 lots.

SGX Catalist-listed Singapore eDevelopment Ltd. today revealed that it has sold 140 lots or 35% of its land development project in Houston, Texas, in the United States for US$20.72 million (S$25.88 million).

SeD stated that its 60%-owned 150 CCM Black Oak, Ltd, had entered into binding sale and purchase agreements for 140 lots at an average price of US$148,000 each. Black Oak has received US$800,000 in deposits for the 140 lots.

Black Oak had acquired seven parcels in the 136-acre development in Texa and has sub-divided the Land into 398 lots instead of 545 lots announced earlier after taking into account additional local planning requirements and larger individual land lot size.

SeD expects to complete construction and development of the necessary infrastructure and deliver the sub-divided lots in phases, hence recognising the revenue from Black Oak over the FY2015, FY2016 and FY2017 financial years.

Here’s more from SeD:
The Texas project is a significant component of SeD’s international property development activities--the first of two engines of corporate recovery and growth unveiled by the Company after it disposed its loss-making legacy Singapore-construction business in May 2014.

It had identified Houston as a location for land development after taking into account the recovery cycle of the U.S. property market, healthy economic and job growth as well as low vacancy of residential homes in Texas.

Apart from Texas, SeD has also bought three waterfront residential sites in Mandurah City, Western Australia, to develop seven units of waterfront bungalows and good class townhouses for sale.