Brokers' take

CapitaLand Commercial Trust > Neutral Close: S$1.68 Target price: S$1.54 Credit Suisse Research, July 14

FURTHER details regarding the redevelopment of Golden Shoe Car Park (GSCP) were finally announced.

The joint venture is targeting a yield on cost of 5 per cent for the development based on office rents of S$12-14 per sq ft per month which we believe may be difficult to achieve as we expect a moderate recovery in rents. We assume rents of S$11.50 psf/m, and yield on cost of 4.5 per cent.