THE M3: LAND PREMIUM; PROPERTY TAX; L'ARC; CPI

The Macau Metro Monitor, September 21th 2010


LAND PREMIUM CALCULATION TO BE REVISED Macau Daily Times, Intelligence Macau

Director of the Land, Public Works and Transport Bureau (DSSOPT), Jaime Carion, said the calculation method of land premium will be revised “shortly” and that the fine for land concessionaires in cases of idle land will link with the land premium.  Moreover, he disclosed that the draft law proposes that all land parcels will be put up in open auctions “except those that involve public interest”, and bidders will be required to submit an economic feasibility analysis report to prove the company’s financial capability when applying for land concession.

Carion stressed that the Government will be “tough” on the land concessionaire who wants to renew the contract but hasn’t developed the land before the deadline.  IM believes this comment is directed at the holder of Lot 3, which is having trouble finding tables given the 5,500 ceiling established by the Government.

CHINA MAY UNVEIL PROPERTY TAX IN OCTOBER TO REIGN HOME PRICES, REPORT SAYS Bloomberg

According to China Business News, China may announce property tax measures as early as the October National Day holidays.  The new tax, which will be extended to include residential property, is more likely to be implemented at the start of next year 

L'ARC MACAU TO INCREASE ENTERTAINMENT OFFER macaubusiness.com

Managing director of L'Arc Macau, Johnny Chan, said, "We are continuously upgrading our existing facilities and later in the year, we will offer more choices of entertainment facilities to our customers.  The hotel has recorded an average occupancy rate of 90 percent over the past year."  Chan added that the casino operations in L'Arc have had a "good performance."

CONSUMER PRICE INDEX FOR AUGUST 2010 DSEC

Composite CPI rose 2.55% YoY.  The price index of Recreation & Culture rose by 1.39%, attributable to higher charges for outbound package tours during the summer holidays.