Vol. XXI, No. 246 [ BusinessWorld Online ]
Wednesday, July 16, 2008 | MANILA, PHILIPPINES
LISTED PROPERTY developer Fil-Estate Land, Inc. expects to generate P745 million in income from six lots inside Camp John Hay in Baguio City that it may develop into mid-rise leisure homes.
In a disclosure to the stock exchange, the company said it had been given acquisition rights over five lots in Scout Hill after guaranteeing the P230-million Camp John Hay Suites and Forest Cabins. It has also acquired development rights over a 12,000-square meter lot along South Drive because of the guarantee.
Fil-Estate Land said it can sell the five lots outright or develop these into mid-rise homes. "Fil-Estate Land expects to realize up to P745 million from these projects. The estimated development cost for both projects is P1.9 billion," the company said.
The Camp John Hay Suites and Forest Cabins are joint ventures with unit Fil-Estate Urban Development Corp. (FEUDC) and Camp John Hay Development Corp. (CJHDevCo). The latter will contribute the leasehold rights, while FEUDC will finance the project. Fil-Estate Land has guaranteed its unit’s obligations under the project.
The Camp John Hay Suites will consist of a five-storey condominium hotel, while the Forest Cabins will be a duplex townhouse project.
Fil-Estate Land Corporate Secretary Gilbert Raymund T. Reyes said the company plans to add 150 rooms to Camp John Hay Suites with a unit price worth P60,000 to P70,000 per square meter.
Fil-Estate Land also plans to add 15 to 20 duplexes to the existing 20 duplexes of Forest Cabins. Each duplex has an area of 130 to 140 square meters and will have three bedrooms and an attic.
Mr. Reyes said aside from these projects, the company plans to develop 25 more low- and mid-rise condominium hotel projects in CJHDevCo that they expect to complete in the next five years. "The company is eyeing retirees and vacationers for these projects," Mr. Reyes said. — KJRL
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