Megaworld earmarks P230B for projects over next 5 years
MANILA, Philippines – Andrew Tan-led property giant Megaworld Corporation is spending P230 billion this year until 2018 for residential, office and retail projects in various parts of the country.
On the sidelines of the company’s 20th listing anniversary at the Philippine Stock Exchange on Monday, June 16, Megaworld senior vice president Jericho Go said the company would put up 10 residential towers and 6 office towers every year over the next 5 years.
The company has 3 township projects in Davao, Cebu and Iloilo.
Go said they would also open new commercial developments in the 3 provinces as well as Quezon City and Makati City over the same period.
“We definitely have more unique offerings coming up for our customers in residential, official, commercial, retail and even in the hotel businesses. The 5 years will be very exciting for Megaworld,” Go said.
For this year alone, Megaworld earmarked P40 billion for capital expenditures.
Megaworld Investor Relations head John Hao during the same event said that given the aggressive expansion program, rental income would account for half of the company’s net income. “Right now 50% of net income comes from real estate sales and 40% from rental income properties. In the next 5 years, the figure will be shifting towards rental income properties.”
Megaworld is set to complete the acquisition of a majority stake in Global-Estate Resorts Inc., paving the way for completion of its consolidation under the Megaworld brand. At present, Megaworld wholly owns Suntrust Properties Inc. and majority of Empire East Land Holdings Inc.
“We are very much on track on our aim to cement our leadership in the Philippine property industry. The plans for the future of Megaworld remain bright and clear,” Go said.
To date, Megaworld has 10 townships all throughout the country covering around 300 hectares of land. This includes the 18.5-hectare Eastwood City, which is considered to be the country’s first cyberpark; the 50-hectare McKinley Hill in Fort Bonifacio; the 25-hectare Newport City in Pasay City; the 5-hectare Forbes Town Center in Bonifacio Global City; the 28.8-hectare The Mactan Newtown in Lapu-Lapu, Cebu; the 15.4-hectare Uptown Bonifacio in Bonifacio Global City; the 34.5-hectare McKinley West in Fort Bonifacio; the 12.3-hectare Woodside City in Pasig City; the 11-hectare Davao Park District in Davao City; and the 72-hectare Iloilo Business Park in Mandurriao, Iloilo. – Rappler.com