Vista Land settles P2.53B worth of debts

Vista Land & Lifescapes Inc., the listed holding firm for most of the real estate assets of the family of Sen. Manuel Villar, has settled P2.53 billion in debt or almost half of its total debt of P5.3 billion.

In a briefing yesterday, Vista Land said it started paying off some of its loans using proceeds from its recent additional issuance of shares to the public.

Vista Land raised a record $546 million from a follow-on offering of shares, with foreign investors taking up a large portion of the issue which was five times oversubscribed

The company said it spent P6.7 billion for its real estate projects in the first half of the year. 

It launched 10 projects so far this year with an aggregate land area of 71 hectares equivalent to 2,520 housing units valued at P6.7 billion. Of the 10 projects, two were residential condominium buildings located in Makati and Bonifacio Global City and two new areas for Communities Philippines.

Boosted by a one-time gain of P1.44 billion the debt restructuring of C&P Homes, Vista Land reported a consolidated net income of P2.064 billion in the period January to June this year, up 296 percent from the same period a year ago.

Revenues from real estate sales amounted to P4.11 billion, 41.3 percent higher than the previous level of P2.91 billion. Gross profit grew 42.4 percent to P2.063 billion from only P1.45 billion.

Operating expenses amounted to P771 million, 4.8 percent higher than the year ago’s P736 million.

Vista Land combines the expertise and track record of Brittany Corp. for the high-end segment, Crown Asia for the middle market, C&P Homes for affordable and low-cost housing and Communities Philippines as the vehicle that brings the three different brands to areas outside Mega Manila (Metro Manila and the neighboring provinces of Cavite, Laguna, Rizal, Batangas and Bulacan).

Brittany is a major provider of luxury high-end homes in master-planned communities, priced at P9 million or above. The company, perceived as one of the more innovative developers in the country, recently ventured into the high-rise residential condominium segment with Viera and Marfori Residences in Muntinlupa, Mosaic in the Makati central business district and the newly-launched Avant in Fort Bonifacio.

Crown Asia pioneered the development of large-scale themed projects catering to the middle market and primarily offers middle class homes in Mega Manila priced between P3.5 million and P9 million.  

C&P Homes carries the flagship brand Camella, recognized as the country’s most preferred housing brand. It has been servicing the low-cost (including socialized) housing segment (priced below P1.3 million) and the affordable housing segment (P1.3 million to P3.5 million) in the Mega Manila area for over 30 years.

Vista Land is spending P18 billion for its capital expenditures over the next two years in line with efforts to further strengthen its position in the industry.

The company is seeking to double its geographical reach in the next two years with the roll-out of 15 projects in 11 areas outside Mega Manila. 

The new projects will double Vista Land’s reach from the current 10 areas to at least 21 areas by 2008, making it undisputedly the leading property developer in the country with the widest geographical reach.