Page 211 - CJ 2019 INTEGRATED REPORT

209
NOTES TO THE FINANCIAL
11
STATEMENTS 31 DECEMBER 2019 (CONTINUED)
GROUP
2018
Rs’000
2 2 264 484 59 546
(8 159) (155 869)
48 868
1 1 152 (40 339)
2 169 683
INVESTMENT PROPERTIES
At 01 January
Additions
Disposal
Transfer to property plant & equipment
Fair value gains/(loss) recognised in in in income statement (Note 5)
Fair value gains recognised in in in in the income statement of Life Assurance Business
Impairment
At 31 December
COMPANY
2018
Rs’000
205 483 10 156 - - 2 689 - 218 328
2019 Rs’000
2 169 683
58 161
(16 891)
(2 389)
286 405
4 907
(11 525)
2 488 351
2019 Rs’000
218 328
27 436
(4 007)
- 241 757
The The land and and buildings are valued annually on on on on 31 31 December
December
by by independent independent qualified valuers The The latest independent independent valuation was performed on on on on on on on 31 31 December
December
2019 by by Noor Noor Dilmohamed Dilmohamed & & Associates Associates based on on on on on on on fair value value value model taking into consideration recent recent sale for for comparable properties properties in in in in the the region Noor Noor Dilmohamed Dilmohamed & & Associates Associates hold recognised and and relevant professional qualifications and and has recent recent experience in in in the the locations of of properties properties valued INTEGRATED REPORT 2019 Recurring fair value measurements
GROUP
Rs’000
COMPANY
2018
Rs’000
167 287 51
041
Significant other observable inputs (Level 2)
2019 Rs’000
1 1 964 126
524 225
2019 Rs’000
162 140
79 617
Land 1 1 1 664 755 Buildings 504 928
The The fair values of of land land and and and and and buildings buildings have been derived from observable sales prices of of comparable land land and and and and and buildings buildings in in in in in in close proximity and and and and and are are adjusted for differences in in in in in in key attributes such as property size The The most significant input into this valuation approach is is price per square meter Investment properties value as at at 31 December
2019 included project project costs incurred by a a a a a a a a a a a subsidiary in in in in in prior years amounting to to Rs 76 734 347 which were were for the the the the the the real estate development project project project project Due to to delays in in in in in the the the the the the start of of the the the the the the project project project the the the the the the project project project costs costs capitalised were were reviewed at at at the the the the the the end of of of the the the the the the current year and management has carried out an an an an impairment impairment assessment Based on on a a a a a a a a a a a a a a a a a a a a a a a a fair value less costs costs to sell computation an an an an an impairment impairment of of Rs Rs 11
525 218 (2018 - Rs Rs 40 338 990) was deemed appropriate and recognised for the year ended 31 December
2019 Rental income and operating expenses from investment properties were as follows:
2018
GROUP
COMPANY
2018
2018
2018
2018
2019 Rs’000
79 304
19 716
11
075
2019 Rs’000
10 335
278
- Rental income Direct operating expenses arising from investment properties that generated rental income Direct operating expenses from investment properties that did not generate rental income Rs’000
Rs’000
Rs’000
Rs’000
Rs’000
Rs’000
59 933 7
369 16 173 274 18
690 - -