FGV Annual Report 2012

60 Felda Global Ventures Holdings Berhad 19 INVESTMENT PROPERTIES Leasehold Group land RM’000 2012 Cost At 1 January 2012 – Transfer from property, plant and equipment (Note 18) 43,000 At 31 December 2012 43,000 Accumulated depreciation At 1 January 2012 – Transfer from property, plant and equipment (Note 18) 2,159 Charge for the financial year 463 At 31 December 2012 2,622 Net book value at 31 December 2012 40,378 Following the cessation of sugar cane planting activities at a subsidiary, the leasehold land was reclassified to investment properties as the Directors currently intend to hold it for capital appreciation. The fair value of the investment property above as at 31 December 2012 is estimated at RM44,730,000 based on an independent valuation carried out by a registered professional valuer using the comparison method by reference to recent transactions and sales evidences involving other similar properties in the vicinity. No rental income and direct expenses were recognised in profit or loss during the financial year. Notes to the Financial Statements for the financial year ended 31 December 2012