Posted on 10:47 PM, April 07, 2010 [ BusinessWorld Online ]
FILINVEST LAND, Inc. of property tycoon Andrew L. Gotianun, Sr. will launch P8.6 billion worth of real estate projects this year given an expected uptick in demand.
These include “four new socialized housing projects in Cavite, Batangas and Bulacan, as well as two new affordable housing projects, also in Batangas and Cavite,” the firm told the local bourse yesterday.
As of end-2009, Filinvest Land had a land bank of 2,433 hectares, which, the firm said, would allow it to meet future market demand.
Profits of Filinvest Land grew by 8% last year to P2.018 billion from P1.867 billion in 2008, as a result of higher revenues from residential mass housing projects.
Total revenues rose by 8% to P5.644 billion from P5.231 billion in 2008.
The property developer expects to break ground this year for Citta de Mare, its flagship development within the South Road Properties in Cebu City.
Land development will start this year on part of the 10.6 hectares set aside for a mixed-use development, as well as on the first of several residential buildings within the 40 hectares allocated for residential use.
The South Road Properties, touted as the centerpiece of Cebu City’s economic development plan, is registered with the Philippine Economic Zone Authority as a special economic zone, allowing companies to get tax perks.
Shares in Filinvest Land closed higher yesterday at P0.98 each from P0.93 on Tuesday.
Meanwhile, a Gotianun holding firm has shifted its focus to energy projects, documents submitted to corporate regulators showed.
Stockholders of Green Renewable Power Holdings, Inc. approved in January the amendment in the firm’s primary focus, restating it “to invest, undertake or participate in the development, design, establishment, construction, operation ... of diesel, gas turbine, coal and or steam-powered plants, and other power-generating plants.”
Previously, Green Renewable’s purpose was limited to owning and selling shares of stocks, bonds and notes. The authorized capital of the energy firm is P16 million. Mr. Gotianun subscribed to a quarter of the amount.
Justino B. Calaycay, Jr., analyst at Accord Capital Equities, Inc., said in a phone interview that renewable energy projects are expected to pick up this year.
“We expect a lot of companies to look at the renewable energy sector.
With the passage of the renewable energy bill, there are already a lot of incentives available,” he added. -- N. J. C. Morales
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