Posted on September 16, 2012 09:37:48
PM [ BusinessWorld Online ]
BY FRANZ G. DE LA FUENTE, Reporter
DEVELOPER Century Properties Group,
Inc. has already sold nearly 87% of its four master-planned communities in
Metro Manila, all of which were former industrial and institutional structures
that benefited from a boost in their property values resulting recent
redevelopment and rehabilitation.
In a statement last Saturday, Century
Properties said that as of end-June, it has sold 86.99% or 9,017 units out of
the total 10,366 units available for sale at its flagship projects Century
City, Azure Urban Resort Residences, Acqua Private Residences, and The
Residences at Commonwealth by Century, which are all being built at a total
cost of P34 billion.
“We are humbled by the markets’
acceptance of our developments. Developing new projects in older,
under-utilized real estate allows us to revitalize overlooked prime areas. It
naturally enhances the urban makeup of these sites, and consequently their
property values,” said Jose Carlo R. Antonio, Century Properties chief
financial officer.
CONSTRUCTION UPDATE
In the meantime, the construction of
two of the company’s master-planned developments is already underway at
different stages of progress, the statement read.
Gramercy Residences, one of four
residential high-rises at the P15-billion Century City along Kalayaan Avenue in
Bel-Air, Makati City is expected to be completed by December, with the three
other buildings namely Knightsbridge Residences, Milano Residences, and Trump
Tower expected to follow in the next three years.
The 3.4-hectare Century City property
used to be occupied by a portion of the International School Manila for over 40
years.
At the P8-billion Azure Urban Resort
Residences in Parañaque City, construction has already reached the fourth of
its nine towers, with the first three towers targeted for completion in the
next 18 months.
Prior to its development, Azure Urban
Resort Residences was formerly an automobile manufacturing plant.
No construction updates, however, were
immediately available for the P7-billion Acqua Private Residences in
Mandaluyong City and the P4-billion Residences at Commonwealth by Century in
Quezon City, which used to be a former sugar refinery plant and an
“under-utilized” parking lot, respectively.
CASH ON HAND
At present, Century Properties remains
liquid with roughly P10 billion in cash on-hand of as of this month, Mr.
Antonio noted.
“We are very thankful to the support
of our financial partners. Century [Properties] raised P1.6 billion in a
pre-IPO (initial public offering) basis prior to our becoming public in
January, P2.3 billion from the sale of Century Properties’ shares in Feb. 2012,
and has approved bilateral credit facilities of P5.5 billion from 10 financial
institutions as of Sept. 2012. This brings our financing capabilities to P10.4
billion,” Mr. Antonio said.
Century Properties, established in
1986, is a high-end developer with over 40 projects in its total portfolio as
of last year, based on its 2011 annual report.
It debuted on the Philippine Stock
Exchange last September by way of back door listing, replacing dormant energy
firm East Asia Power Resources Corp.
The company programmed last February a
capital budget of approximately P7 billion for this year, nearly a bulk of
which may be bankrolled by debt.
As of end-2011, the developer had
already completed 4,128 units in 20 condominium buildings, all with a total
gross floor area (GFA) of 548,262 square meters, based on its latest financial
statement.
This portfolio is expected to grow
upon the completion of four master-planned communities in Metro Manila and
Cavite that will add a combined estimated GFA of 1.19 million square meters.
For the entire year, Century
Properties said last April that it expects to double its net income versus 2011
levels as it looks to book higher revenues from completed and ongoing projects,
translating into a likely 2012 income of at least P1.73 billion, compared to a
2011 net income of P866 million.
The company saw its first half net
income surge by 91% to P944 million this year from P496 million last year on
the back of the strong sales performance of its property developments.
Revenues during the same period
doubled to P4.9 billion versus P2.1 billion, year on year.
Shares of Century Properties were
traded unchanged last Friday at P1.50 each.
_____________________________________________________________
