LISTED homegrown developer Cebu Landmasters Inc. (CLI) is eyeing more estate projects this year to cement its presence in key cities in the Visayas and Mindanao.
CLI chairman and chief executive officer Jose Soberano III told reporters yesterday that they are eyeing two estate projects in Cebu this year—a 20-hectare property that is still part of Metro Cebu and a separate five-hectare development.
Soberano, however, declined to delve into the details of the proposed townships but said these will strengthen CLI’s leadership in real estate development.
“Before, we were used to building standalone projects. Now, we want to go into more mixed-use developments...create more integrated projects,” said Soberano at the sidelines of the company’s annual stockholders’ meeting.
CLI went public in June 2017.
It currently has two estate projects both located in Davao City.
CLI has forged a partnership with Davao’s landlords to develop a township in Matina, Davao City, a 22-hectare central business district (CBD) that will begin development this year.
It also inked a partnership with Lyceum of the Philippines University for a university township project in Buhangin, Davao, which is set to begin construction in the fourth quarter this year.
The 17-hectare mixed-use development will have an academic, residential, commercial, office, hotel and convention components.
Another location in the pipeline for an estate project is Cagayan de Oro City.
Soberano said they are currently in discussion with a major landlord in the city for the planned development over 60 hectares.
CLI identified at least 20 new projects for 2018.
Soberano said they initially earmarked P8 billion to finance these projects.
However, he pointed out that the capex might go up, as there will be more projects they target to introduce this year.
“Our decision to diversify our portfolio many years ago is paying dividends today, as we are able to tailor-fit different products to the demand opportunities and supply gaps in each market,” said Jose Franco Soberano, CLI’s executive vice president and chief operating officer.
Of the 20 projects, CLI will launch 12 residential projects encompassing the upscale, mid-market and economic segments. The company will also develop three more office buildings, two more hotels and one industrial park and one central business district.
Besides being present in seven key areas, CLI will also venture into new locations like General Santos, Butuan, Ormoc and Roxas cities.
“The VisMin’s time is now, and CLI will do its best to be at the forefront of the action,” said Jose Franco, capitalizing on the many indicators that point in VisMin’s favor like booming trade and commerce, tourism, infrastructure development, and continued BPO expansion.
“The environment for real estate development remains highly conducive—with better land valuations, lower cost of living, abundant labor pool, and greater availability of development opportunities in both urban and fringe areas,” he added.
CLI ended 2017 with a net income of P1.3 billion. It recorded sales revenues of P3.93 billion.
Stephen Tan, CLI’s chief finance officer, said the record-breaking sales levels are attributable to timely implementation of projects and strong reservation sales of P4.58 billion, up by 55.6 percent from the 2016 levels.
Big plans. At their annual stockholders’ meeting yesterday, Cebu Landmasters Inc. president and CEO Jose Soberano III said they are shifting to more integrated projects in the Visayas and Mindanao. The company, which went public in June, expects to end 2018 with a net income of at least P1.7 billion.After its initial public offering, the company reported a 6.4 percent growth in land inventory. (SunStar Foto/Allan Cuizon)
May 30, 2018
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