Ho Bee profits hit by drop in value of London properties

Singapore

LOWER fair value gains on its investment properties caused Ho Bee Land to post declines in fourth-quarter and full-year net earnings.

Five of the group's six London investment properties suffered declines in valuations as at the end of last year - in the aftermath of Brexit.

This was compounded by the sterling's depreciation when the revaluation losses were converted to Singapore dollars, Ho Bee's reporting currency.

However, on a positive note, Ho Bee booked a revaluation gain on its Singapore flagship office building, The Metropolis in Buona Vista. It was valued at S$1.782 billion or around S$1,650 per square foot on net lettable area at Dec 31, 2016, reflecting a S$162 million revaluation gain ov…