NOTES TO THE FINANCIAL STATEMENTS
For the financial year ended 31 December 2015
93
ANNUAL REPORT 2015
16.
INVESTMENT PROPERTIES
Group
Company
2015
2014
2015
2014
$’000
$’000
$’000
$’000
Balance sheets:
At fair value:
Balance as at 1 January
399,763
849,910
53,135
122,346
Fair value changes recognised in profit or loss
(4,819)
(4,021)
4,188
1,484
Acquisition of properties
216,777
–
–
–
Reclassify from non-current assets (note 24)
74,491
–
–
–
Redevelopment expenditure
–
2,173
–
–
Disposal of a subsidiary (note 18)
(53,778)
–
–
–
Attributable to disposal group classified as held for sale (note 25)
(17,771)
(42,317)
(17,771)
–
Disposal during the year
–
(405,000)
–
(69,741)
Exchange adjustment
(8,653)
(982)
(7,181)
(954)
Balance as at 31 December
606,010
399,763
32,371
53,135
Group
2015
2014
$’000
$’000
Income statement:
Rental income from investment properties:
– Minimum lease payments
10,301
20,086
– Contingent rent based on tenant’s turnover
–
8
10,301
20,094
Direct operating expenses (including repairs and maintenance) arising from:
– Rental generating properties
(5,474)
(8,355)
– Non-rental generating properties
(9)
(8)
(5,483)
(8,363)
(a)
Except as disclosed in note 16(c), the Group has no restrictions on the realisability of its investment properties.
(b)
Investment properties are stated at fair value. Valuations of investment properties have been determined based on
valuations at or approximate the end of the reporting period. Valuations are performed by accredited independent
valuers with recent experience in the location and category of the properties being valued. Details of valuation
techniques and inputs used are disclosed in note 43D.
(c)
Certain investment properties are mortgaged to secure bank facilities (note 32).
(d)
During the financial year, the loan secured on the 14 residential units at The Holland Collection, Singapore was
repaid and the mortgage was discharged.
(e)
During the financial year, there was no employee benefits expense capitalised in investment properties (2014: $15,000)
(note 8).
