Trans Tasman Properties loses $2.6m in robust market

Listed developer Trans Tasman Properties is losing money in a strong real estate market.

While other NZX-listed property businesses have made substantial profits and large unrealised revaluation gains, TTP lost $2.6 million in the half year to June 30 compared with a $6.5 million profit previously.

Dividend suspension remains in force for the developer, whose Hong Kong-owned majority shareholder SEA Holdings has made a takeover offer.

SEA's last substantial security-holder notice issued last Wednesday said it had 71.8 per cent of TTP.

Revenue in the past six months came mainly from selling a $23.5 million stake in the Viaduct Harbour and selling strata title units in its office building at 65 York St, Sydney.

Deals in the past six months included:

* A $5 million conditional sale of other Viaduct Harbour property.

* Sale of nine strata title units in Sydney for A$5 million.

* Conditional purchase of a Packenham St parcel of land at the Viaduct for $16 million. Settlement is due next year.

TTP is also developing its 520-space Queenstown carpark where excavation work is completed. The building is due to be finished next year.

Another 42 residential lots are being developed at Clearwater in Christchurch.

TTP said the group head office had shifted from Singapore to Auckland. It was now focused solely on the Australasian market, after floating its Asian developments on the London Stock Exchange's alternative investment market on January 16.

The company said it was in a sound financial position because it had conservative gearing and cash reserves. It is scouting for other development deals here.

TTP's shares are trading around 55c.