Posted on
December 07, 2012 08:11:55 PM [ BusinessWorld Online ]
GATCHALIAN-CONTROLLED
PROPERTY firm Philippine Estates Corp. (PHES) has formally sealed a deal with
Ayala-led Amaia Land Corp. for the development of a residential property in
Cavite, a disclosure by PHES showed on Friday.
"In a meeting held earlier today (Dec. 7),
PHES and Amaia Land entered into a memorandum of agreement to develop PHES’
real estate property located in Cavite into a residential and/or subdivision
project,” the disclosure read.
Amaia Land,
formerly known as First Communities Realty, Inc., was incorporated in 2000 as a
wholly owned unit of listed real estate firm Ayala Land, Inc. catering to the
“economic” housing segment, according to Ayala Land’s 2011 annual report.
Amaia Land’s
past projects include AmaiaScapes in Laguna, Nueva Ecija, and Negros
Occidental; Amaia Skies in Quezon City; and Amaia Steps in Novaliches, Quezon
City.
Last month,
PHES said that its board had approved the formation of a joint venture with
Amaia Land to develop its Cavite property, authorizing Elvira A. Ting, PHES
president, to negotiate and finalize the deal’s terms.
Details on
the finalized project were not immediately available; officials from Ayala Land
or PHES were similarly not immediately available for comment.
PHES was
first incorporated in 1983 as Philippine Cocoa Estates Corp. to engage
primarily in agriculture, shifting its business in 1996 to accommodate the
entry of The Wellex Group, Inc. as its primary investor.
It currently
has one wholl owned subsidiary, Mariano Arroyo Development Corp.
Some of
PHES’a completed projects include the Pearl of the Orient Tower in Manila,
Pacific Grand Residences in Valenzuela City, Pacific Grand Villas and Pacific
Grand Townhomes in Cebu, Jaro Grand Estates in Iloilo City, Pacific Grand
Townhomes in Bulacan, and Pacific Grand Residences in Cavite.
Amaia Land’s
parent, Ayala Land was organized in 1988 when conglomerate Ayala Corp. decided
to spin off its real estate division into an independent subsidiary to enhance
management focus on its real estate business. It went public in 1991.
For 2012,
Ayala Land had allotted a record P37 billion in capital expenditures (capex) to
fund around 67 new projects with an estimated sales value of P90 billion, as
well as for the acquisition of new properties moving forward, the firm said
last February.
Shares of
PHES fell by two centavos or 2.53% to 77 centavos on Friday from 79 centavos on
Thursday, while those of Ayala Land rose by 25 centavos or 1.03% to P24.50 on
Friday from P24.25 on Thursday. -- Franz Jonathan G. de la Fuente
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