FGV Annual Report 2014

20 Investment Properties (continued) Group (continued) As at 31 December 2014, the carrying amount of investment properties without land titles is RM7,528,000 (2013: RM8,330,000). Company Buildings RM’000 2014 Cost At 1 January 2014 – Additions 8,715 At 31 December 2014 8,715 Accumulated depreciation At 1 January 2014 – Charge for the financial year 73 At 31 December 2014 73 Net book value at 31 December 2014 8,642 The following amounts have been recognised in profit or loss: Group Company 2014 2013 2014 2013 RM’000 RM’000 RM’000 RM’000 Rental income from investment properties 4,039 – – – Direct operating expenses arising from investment properties that generate rental income (3,300) – – – Direct operating expenses arising from investment properties that did not generate rental income (64) – – – The fair value of the investment property above as at 31 December 2014 is estimated at RM154,700,000 (2013: RM129,628,000) for the Group and RM8,715,000 (2013: RM Nil) for the Company based on an independent valuation carried out by a registered professional valuer using the comparison method by reference to recent transactions involving other similar properties in the vicinity. The valuation is a level 2 fair value estimation. Introduction Performance Highlights About FGV Reports Financial Statements Others Strategy and Value Creation Performance Review & Progress Foreword to Shareholders Annual General Meeting Annual Report 2014 pg 231