MANILA, Philippines - Property giant Ayala Land Inc. (ALI) is expanding its footprint in Davao City with a new mixed-use development.
In a disclosure, ALI said it signed a joint venture agreement with Alsons Development and Investment Corp. (Aldevinco) “for the development of a 25-hectare integrated and mixed-use community in Lanang, Davao City.”
“The development shall consist of residential condominiums and retail components,” ALI added.
Aldevinco, a real estate firm in Davao City, is a unit of the Alcantara Group of Companies.
The partnership will “provide ALI the opportunity to further expand its presence and growth in key regional areas,” said ALI president Antonino T. Aquino.
The new mixed-use project will add more than 2,000 residential condominium units and approximately 7,000 square meters of leasable commercial space to the ALI.
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To date, the property giant’s portfolio in Davao City includes Abreeza, a 10-hectare mixed-use development that has a mall, an office facility designed for business process outsourcing firms and traditional offices. Abreeza is under a similar joint venture with Anflo Management and Investment Corp. of the Floirendo family.
ALI has earmarked P65.5 billion this year for the completion of ongoing developments and launch of 69 new projects with a combined value of P129 billion.
Its earnings surged 27 percent to P9.04 billion last year from P7.14 billion the previous year as revenues from its residential, hotel, office and commercial projects jumped 23 percent to P54.52 billion.
ALI is wrapping up its 5-10-15 program, launched in 2009 amid the global financial crisis. It is a five-year plan ending in 2014 that aims to boost net income to P10 billion and return on equity to 15 percent.
Meanwhile, listed Alsons Consolidated Resources Inc. (ACR) of the Alcantara family recorded higher earnings last year.
Net income jumped 12 percent to P508.6 million from P455.9 million in 2011.
It was backed by a six percent increase in revenues to P3.07 billion.
“The increased revenues came mainly from the higher sales performance of the electric and water utilities located inside the Lima Technology Center in Batangas,” ACR said.
ACR president Tomas I. Alcantara said the power business will perform better this year with the takeover of the 98-megawatt Iligan diesel power plant that will start operations in the high-demand summer season.
The energy and power businesses of ACR, the publicly listed holding company of the Alcantara Group, are held by Conal Holdings, Mapalad Power Corp., Sarangani Energy Corp., Alsing Power Holdings, Inc., Alsons Power Holdings Corp., Northern Mindanao Power Corp., and Alto Power Management Corp.
The Alcantara Group is also into real estate, aquaculture, agribusiness and services primarily focusing on Mindanao.
source: Philstar.com | Business