Posted on September 28, 2014 10:22:00 PM [ BusinessWorld Online ]
“We are trying to do a community type of development where you have a school, a residential component and a mall,” STI Chairman Eusebio H. Tanco told reporters after the company’s annual shareholder meeting on Friday afternoon in Makati City.
STI President and Chief Executive Officer Monico V. Jacob said during his report to shareholders that a new nine-story building will be constructed to house JASMS, the basic education unit of Philippine Women’s University (PWU), which was acquired by STI in 2011.
Mr. Tanco said the company will spend P500,000 to P800,000 for the school building, which will occupy around 2,000-3,000 square meters (sq.m.).
STI will get rental income from leasing a portion of the land to Ayala Land subsidiary Amaia Land, Inc., which caters to the affordable segment, on which a two-tower condominium and a neighborhood mall will be constructed.
The residential and retail components will occupy around 4,000 sq.m. and 8,000 sq.m., respectively, according to Mr. Tanco.
“We will spend for the school, they (Ayala Land) will spend for the mall,” Mr. Tanco said. “It’s going to be the district mall of JASMS.”
Groundbreaking will take place “in a couple of months,” with the project expected to be complete within “one and a half years,” he added.
Aside from its interest in PWU, the company also has a stake in De Los Santos-STI College, West Negros University, and STI Education
The STI group currently has 80 STI-branded schools nationwide composed of 66 STI-branded colleges and 14 STI-branded educational centers.
For the three months to June, the fourth quarter of its fiscal year, the group’s net income fell 78.64% year on year to P39.57 million, while gross revenue dropped 27.26% to P388.79 million.
On Friday, STI shares were unchanged at 80 centavos. -- Daphne J. Magturo