News
Galle Face luxury flats Rs 17.8b money-spinner for Shangri-La
Luxury hotels owner and operator Shangri-La Asia has generated mega bucks from the 372 prime Colombo ocean-front luxury flats it has sold.
The Hong Kong-listed hotel and real estate company predicts US$100 million (Rs 17.80 billion) operating profit from sale of residences in One Galle Face development in Colombo this year. About 76% of the flats have been pre-sold by the end of December 2018, the company has announced.
In 2018, Shangri-La Asia had booked US$ 61.8 million profit from the flats.
The company invested US$ 233 million in the luxury flats.
In November and December last year, it handed over 111 flats, and the remaining 171 units, which have been sold, will be handed over this year.
The Colombo sea-front office and shopping mall is expected to be completed this year.
The group’s revenue of US$ 2.51 billion for 2018 includes US$ 120.8 million from sales of the Colombo apartments. Operating profit for the year ended December 31, 2018, includes US$ 61.8 million from Colombo residential sales.
Operating profit is arrived at after all operating expenses such as sales, marketing, advertising, salaries, depreciation, and rent are deducted from revenue.