SP Setia, part of the Malaysian consortium behind the redevelopment of Battersea Power Station, has seen its net profits soar 89% – thanks largely to strong sales at the SW London regeneration scheme.
Third quarter profits ended September 2017 at RM253.22m, up from RM134.07m in Q3 2016, with Battersea contributing an effective share of RM149.2m (c.£27m) in sales; projects in Singapore and Vietnam brought in a total of RM89.4m.
Quarterly revenue fell 33% as many of its Malaysian projects were completed and handed over, but President and CEO Datuk Khor Chap Jen said the impact of subdued local market performance had been softened by positive results abroad – particularly in London and Melbourne (the Sapphire By The Gardens scheme has also been doing well): “We are pleased to note that the demand in international markets has picked up, demonstrated by the higher current nine months sales, which exceeded last year’s 12 months sales,” he said in a statement.
The announcement was resoundingly upbeat on the BPS project, describing October’s completion of Phase 1 – delivering 12 blocks and 865 units – as a “major milestone”.
More than 400 residents have already moved in, with construction of Phase 2 and Phase 3a due for completion in 2020 and 2021. Meanwhile, tunnelling for the Northern Line Extension is said to be progressing well, with excavation of the station and crossover box both on schedule.
The developer added: “After more than 30 years of being a relic, the footfall visibility has started to transform the Battersea Power Station site into a trendy and upscale address for residents, locals and tourists alike to enjoy a unique blend of restaurants, shops, parks and cultural spaces.”