Wee Hur Won a Tender of Industrial Land in Woodlands - July 2014

Wee Hur Development won a tender of industrial land site at Woodlands Avenue 12 which cost about S$76.9 million, or S$73 per square feet (psf) per plot ratio (ppr) which is lower than what some experts estimated at S$80 - S$115 psf ppr.

I think this is a good news to Wee Hur as it increases land bank of Wee Hur in Singapore, as its industrial project is going toward last stage (targeted completion date by end of this year). With the latest acquisition of industrial land, I believe the RNAV of Wee Hur will increase and it is justifiable that Wee Hur to be in current market price range. Nonetheless, we should monitor the progress of the joint venture in China, as this will increase additional risk to the company.