Sunday, June 22, 2008 [ philstar.com ]
Megaworld Corp., an upscale real estate development firm owned by tycoon Andrew Tan, has deferred its proposed joint venture with Fil-Estate Land Inc.
Kingson Sian, senior vice-president of Megaworld, said the project, dubbed Twin Lakes, has been put on hold in view of the difficult business environment.
“Its been put on hold. We want to focus more on developing residential condominium buildings and completing our projects,” said Sian.
Under the plan, Twin Lakes will be a residential community that will rise on a 731-hectare property in Laurel, Batangas.
Megaworld earlier said it expected to generate around P40 billion in potential revenues from Twin Lakes.
The agreement, signed by both parties last year, called for the formation of a 50-50 joint venture company with an initial capitalization of P2 billion.
It also called for the issuance of P3 billion in preferred shares of the new company to fund the development of the leisure estate.
Megaworld focuses on the middle to high-end residential and office markets. Its subsidiary Empire East Land & Holdings Inc. caters to the lower to middle income market segment.
The company’s flagship development is Eastwood City, a 16-hectare cyberpark and mixed- use project. It is host to nearly one in every four BPO firms in the country among which are the call center operations of IBM and Citibank N.A.
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