JOHOR BARU: The state government will impose higher tax rates for about 130,000 foreigners who own properties in the state.
Johor Mentri Besar Datuk Seri Mohamed Khaled said that the rates were still being discussed but the new rates will be imposed by the end of the year.
"I believe that most locals will be in agreement to this new policy and it is done to increase our state's returns," he said during a press conference before conducting a walkabout in Permas here on Sunday.
Mohamed Khaled added that a re-evaluation exercise would also be conducted statewide as the last formal evaluation was done in the 80's.
"Some of the local councils have conducted property evaluations in the last few years and this includes the Johor Baru City Council (MBJB) who last did a property evaluation in 1991.
"Taxpayers need not worry about the evaluations as property taxes will be retained for lower priced properties," he said adding that higher taxes may be imposed for properties worth in the millions.
Mohamed Khaled said that the state had no intention of increasing the financial burden of the people but also needed to increase the returns to ensure that the local councils can provide better facilities and services for the locals.
Del wrote: Me bullish on HEETON HOLDINGS despite a $2.7 million profit versus $3.2 million previously. Importantly, the NAV moved up to $1.293. The stock price is at a massive discount! Only 69 cents!
The NAV should rise non-stop as the year progresses due to proceeds from projects sold. Heeton will pop up on investors' radar screen if the King Albert Park and Hong Leong Garden projects get launched soon and sell well. It's a little guesswork there as property investors are turning cautious.
Heeton today rose to 73.5 cents, which is a record price for the stock.
More to come, given its substantial discount to RNAV.
Hi erelation, just noticed your last post. I am sure you saw the report on HH/SB's valuation of Zhongshan Park, at $702m, on 22 May 2013 and my earlier post on it. I do not have any price targets for both counters, I just own them because of their discount to RNAV. However, I had reduced my holdings gradually as I had switched some to CES, KSH and Iskandar related stocks (listed on Bursa), as I find HH/SB lacking in catalysts.
Meanwile, 2 other illiquid stocks that I like are Heeton and Pollux. Heeton has many catalysts going forward, and with sales at its various JV projects doing well, I see consistent and good earnings growth over the next few years. Hardly any profit is booked yet for The Boutiq, Sky Green and Palacio, which are all more than 90% sold.
The most recent successful JV launches at Newest and KAP (King Albert Park) are very profitable, especially on a per share basis, because of Heeton's low number of issued shares. My own estimates show Heeton could make as much as 12-15ct net EPS from each of these 2 projects. This may boost RNAV to above $2.20, giving the current stock price a 67% discount to RNAV, the biggest discount among my basket of prop stocks.
Pollux is an illiquid micro cap stock that is obscurely lumped with penny counters. However, it is worth monitoring this counter as it has sold the bulk of the commercial units at Pavillon Square (50% stake) at very high prices. It has also recently launched 2 projects (Garden Park and Mayfair) at East Coast/Telok Kurau and has 1 more (Berkeley Residences) in the vicinity due for launch soon. I have looked at their floor plans and I am impressed with the smart layouts.
The co's last project is a 99-year one at Ganges Avenue close to Tiong Bahru MRT. I estimate all these projects, when fully sold, will bump up RNAV to about 20ct.
the Company is proposing a bonus
issue of up to 44,769,200 new ordinary shares in the capital of the Company (“Bonus
Shares”) with up to 44,769,200 warrants (“Bonus Warrants”) on the basis of one (1) Bonus
Share with one (1) Bonus Warrant for every five (5) existing ordinary shares.
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