Thursday, June 4, 2009 | MANILA, PHILIPPINES [ BusinessWorld Online ]
LISTED CONDOMINIUM builder Cityland Development Corp. will launch two new projects before the year ends, with executives saying demand has been resilient.
Property developer Cityland believes demand for condominium units is still there.
"The company remains cautious about [building projects]. The good thing is, we are not experiencing significant cancellations yet," Josef C. Gohoc, senior vice-president, said in an interview.
Cityland Development’s profits went down to P68 million in the first quarter from P105 million in the same period last year because of the difficult market environment.
The company official however said he was still optimistic, pointing out that while the global economic downturn has forced a cautious stance, projects would still be completed and turned over to clients on time.
"We will also continue to scout and develop projects which will be situated at convenient locations and will carry affordable and flexible payment terms," Cityland Development President Grace C. Luison said.
The company recently launched its 34-storey office and residential condominium project in Ermita, Manila, dubbed the Manila Residences Bocobo. Aside from this, Cityland Development also plans to launch two more in Mandaluyong, along EDSA and on Pioneer Street.
The EDSA project will cover more than half a hectare of property. It will have two mixed-used condominium towers of at least 35 to 38 storeys high.
The Pioneer Street project will likewise have two mixed-use condominium towers but will only be 15 to 16 storeys high.
The property company, led by businessman Stephen C. Roxas, on Tuesday secured the approval of the Securities and Exchange Commission to hike its authorize capital stock to P3 billion from P1.9 billion to pay investors their share in the firm’s profits and to give the company flexibility to raise funds for expansion when the economy improves.
The company is currently preselling four ongoing office-residential condominium projects, among which include the 37-storey Makati Executive Tower III in Pio del Pilar, Makati; the 39-storey Manila Executive Regency in Malate; the seven-storey Mandaluyong Executive Mansion III in Mandaluyong; and the 39-storey Grand Emerald Tower in Pasig.
Shares in Cityland Development jumped by 38.46% or P0.50 to P1.80 apiece yesterday. — Kristine Jane R. Liu
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