Posted on April 14, 2014 10:28:04 PM [
BusinessWorld Online ]
DOUBLEDRAGON Properties Corp. -- the
newly listed real estate joint venture of the founders of Jollibee Foods Corp.
and Mang Inasal Philippines, Inc. barbeque fastfood chain that now forms part
of Jollibee -- is kicking off its community mall strategy in Mindanao with two
such establishments in Zamboanga City, the company said in a statement attached
to a disclosure yesterday.
CityMall Commercial Centers, Inc. (CMCCI), a subsidiary of DoubleDragon
in which SM Investments Corp. has a 34% stake, “signed on April 14… an
investment and shareholders agreement with Galleria Zamboanga, Inc. (GZI) for
the construction of two CityMall community malls in different prime commercial
locations in Zamboanga City,” the statement read.
Their agreement involves formation by
CMCCI and GZI of a joint venture company, Prime DDG Commercial Centers, Inc.,
which will serve as the corporate vehicle for ownership of CityMalls in Zamboanga
City.
Under the deal, GZI will contribute a
one-hectare (ha) property in Tetuan, Zamboanga and a 1.4-ha land in Guiwan,
Zamboanga as equity in Prime DDG.
Prime DDG will be 70%-owned by CMCCI
-- which will have management control -- and 30% by GZI.
Construction is expected to start by
the end of this quarter.
GZI -- owned and controlled by the
Zamboanga-based Lim family -- currently operates Southway Square Mall and
Shop-O-Rama Department Store in the city’s downtown area.
DoubleDragon, which listed last April
7 after raising some P1.16 billion in an initial public offering that ran from
March 26 to April 1, plans to open five such malls this year, with the first to
rise on a 12,654-square-meter commercial land along Arnaldo Boulevard in Roxas
City, Capiz. The rest will rise in Iloilo and Zamboanga cities.
CMCCI plans to build 20 more next year
and another 25 in 2016, with the goal of operating 100 such shopping centers in
seven years “mostly in the Visayas and Mindanao.”
Shares of DoubleDragon, which grew
profit by 37% to P126.63 million last year from P92.48 million in 2012, gained
14 centavos or 3.66% to close P3.97 apiece yesterday from P3.83 each on Friday
last week.
Besides CMCCI, it has three main
subsidiaries, namely: DoubleDragon Sales Corp., One Eleven Property Management
Corp., and Piccadilly Circus Landing Corp.
Formed on Dec. 9, 2009, DoubleDragon’s
other projects -- including a condominium, a subdivision, buildings and a ferry
terminal -- are located mostly in Iloilo City.
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