Vol. XXI, No. 233 [ BusinessWorld Online ]
Friday, June 27, 2008 | MANILA, PHILIPPINES
LISTED real estate developer Anchor Land Holdings, Inc. (ALHI) expects to double its revenue and net income this year as demand for condominium units in Manila continues.
Anchor Land Vice-Chairman Steve Li said they expect company net profits to reach as much as P250 million, 2.5% higher than last year.
With the construction of its fifth high-end residential condominium tower in Binondo, Manila, Mr. Li said that he expects revenues to more than double to P1.02 billion.
Mr. Li said that unlike other developers, the rising cost of construction and the unstable economy would not have much effect on Anchor Land’s bottom line since they had secured most of their contracts last year.
"We were able to lock up the price of the materials during the last quarter of 2007," he pointed out. He added that Anchor Land does not depend on Filipinos working overseas since they have their own niche in the Filipino-Chinese community, made up of rich businessmen.
"Our customers are end-users who do not just look at the units as a form of investment but as something that they can live in," Mr. Li said.
The company has allotted as much as P3 billion to the development of its new project, Sky Suites, a 55-story tower in Binondo that is envisioned to be become Manila’s tallest building.
Anchor Land is also the developer of the 18-story SoleMare Parksuites at the Aseana Business Park in Parañaque, the 33-story Mayfair Tower along United Nations Avenue, and the 39-story Mandarin Square and 33-story Lee Tower, both in Binondo, Manila.
Mall tycoon Henry Sy, Sr. has a 10% stake in Anchor Land, which went public late last year.
Anchor Land completed a public offer that raised P774 million in gross proceeds. The offer had been two times oversubscribed. — Kristine Jane R. Liu
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