CEBU Landmasters Inc. (CLI) expects a significant increase in recurring revenues by 2023, as gross leasable area is seen to bolt past 200,000 square meters, contributing 10 percent to the total revenue.
Jose Soberano III, CLI president and chief executive officer, sees the company expanding recurring income streams within the next four years as it completes other ongoing projects.
Astra Centre Lifestyle Mall, located on AS Fortuna Street in Mandaue City with a gross floor area of 14,000 sqm, is its first lifestyle shopping destination and is targeted to be completed in 2021.
Last year, CLI turned over 2,655 sqm of floor area in Base Line Center, to Robinsons Supermarket, increasing the company’s gross leasable area by 33 percent from 6,297 sqm to 8,952 sqm. When fully operational, Base Line Center, CLI’s first mixed-use project, will feature over 4,700 sqm of office spaces and 5,900 sqm of retail area.
The company also offers retail spaces in its residential condominiums that contribute 500 to 1,000 sqm of CLI’s gross leasable area.
“Our leasing business complements our residential developments, allowing us to provide complete and gratifying experience to the communities that we build and customers that we serve,” said Soberano.
In addition to leasing, CLI also looks at generating more recurring earnings from its ever-expanding hotel portfolio. The developer is set to operate over 1,000 hotel rooms within the next four years.
“With the continuous growth of the hospitality industry in VisMin, demand for hotel rooms will definitely rise. Cebu Landmasters is at the forefront in providing what the market needs, especially those that travel a lot, from hotel rooms to serviced residences,” said Soberano.
Citadines Cebu City—CLI’s first of the four hotels to be managed by The Ascott Limited—will be operational this 2019 with 180 hotel room units.
Other hotels to be managed by The Ascott Limited are Citadines Paragon Davao, Citadines Bacolod City and lyf Cebu City. CLI also signed a partnership deal with the Radisson Hotel Group for the first Radisson Red in the Philippines, which will be in Astra Centre. Radisson Red is the international chain’s lifestyle brand for the millennial mindset.
The linchpin to CLI’s remarkable growth is its successful diversification effort in high-demand real estate sectors. (PR)