Brokers' take

TEE Land | Overweight

Previous close: S$0.20

Target price: S$0.33

NRA Capital, Dec 30

Since March 2015, TEE Land has been steadily increasing its investment in 2-14 Kings Cross Road. Following a high profile launch that set record prices and new acquisitions in the vicinity by other property companies over the last two months, TEE Land's investment now seems to be a carefully selected target with rich upside potential.

In the recent transactions, we estimate that TEE Land has been paying A$900 (S$928) to A$1,000 per square foot (psf). In November 2015, a high-end luxury apartment project OMNIA made headlines for selling a penthouse at A$11 million and achieving 70 per cent sales totalling A$160 million on launch day, implying a high average sale price of around A$1,800 psf. What is interesti…