BY ALBERT CASTRO
[ Malaya.com.ph ] September 7, 2010
Listed developer Philippine Realty and Holdings Corp. (Philrealty) is eyeing joint venture opportunities in a bid to re-assert its position in the local property industry.
"After using up some of our lots for joint development by other property firms, this time we will be the developer of other people’s land," Philrealty president Amador Bacani said, noting that much of Philrealty’s old properties were used as payments for obligations that date back to the Asian financial crisis.
Philrealty recently entered into joint ventures for the development of its property in Bonifacion Global City which was developed into the Icon Residences and Icon Plaza.
For the new joint ventures, Bacani said they will continue to leverage on their brand which is known for prime developments.
Philrealty expects to spend P4.5 billion for the construction of four residential towers in its remaining lots in Quezon City and Manila after it exits corporate rehabilitation later this year.
Among these projects are the Ivy League Square near De La Salle University in Manila and four of the five towers to be put up in the Andrea North complex in Quezon City.
Philrealty will be spending about P1 billion for the second tower of Andrea North, about P700 million to P800 million for the third and fourth tower and about P1 billion for the fifth tower.
Bacani said launching of three of the four towers is expected in three years at the rate of at least one tower a year while construction of all towers is expected to be fully completed in five to six years. The second tower is expected to be launched by the end of the year.
Bacani said they expect to spend at least P1 billion for the development of the Ivy League Square and hope to earn revenues of about P2 billion from the project which will be designed mainly for students.
Bacani said the Ivy League Square can be put up relatively faster since they have already built the foundation for the project before it was shelved prior to the firm’s entering corporate rehabilitation.
Philrealty expects to exit rehabilitation as early as October when it complies with the requirements of its rehabilitation project which includes completion of the construction of the Skyline Tower, the first building in the Andrea North complex, and payment of suppliers for debts amounting to about P50 million.
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