LONDON (Alliance News) - Closed-end investment company Pacific Alliance China Land Ltd Wednesday said its net asset value at the end of December rose 9%, boosted by its commercial property operations.
The firm which has a portfolio of investments including properties, new developments, distressed projects and real estate companies in Greater China said its net asset value stood at USD319.6 million in 2013, compared with USD297.7 million, representing a 5.1% increase in its net asset value per share to USD2.46 from USD2.25 in 2012.
AIM-listed Pacific attributed the increase to the performance of its commercial assets and in particular Project Diplomat, an apartment building in Beijing. The firm said the building maintained its strong performance despite less favourable market conditions and achieved higher rents while keeping vacancy at relatively low levels, leading to an increase in net operating income and property value
In addition, Chinese real estate developer Project Auspice, in which Pacific has a stake, recorded revenue growth of 31% in 2013.
Overall, Pacific Alliance said China's residential property sector continues to recover despite the government's "tightening policies."
"Although the investment manager believes that the immediate term may present some volatility, the long-term prospects for the market are supported by China's relatively strong economic growth," it added.
Financially the firm said it had around USD13 million of free cash.
The stock last traded at USD1.70.
By Anthony Tshibangu; anthonytshibangu@alliancenews.com; @AnthonyAllNews
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