Filinvest Land income up 12% to P1.15B in first 9 months

Filinvest Land Inc. (FLI), the property development unit of the Gotianun family, reported a 12-percent growth in its net income in the first nine months for the year due to the brisk sales of its medium-rise condominium projects and higher lease income.

In a statement issued yesterday, FLI said its net income before extraordinary equity in net earnings of affiliates reached P1.15 billion in the period January to September this year compared with P1.025 billion the previous year-period.

Total revenues increased five percent to P3.6 billion, the bulk of P2.31 billion of which came from real estate sales. 

FLI said demand for its socialized, affordable and middle-income residential projects continues to be strong in spite of the financial turmoil gripping the global economy.

Total residential sales take-up generated a year-on-year growth rate of 34 percent. Significant sales were contributed by MRBs, which comprise several five-story buildings clustered around the central amenity area.

“MRBs are attractive because they offer a much better living environment due to its low density development, compared to a high-rise condominium building,” FLI said.

FLI said rental income expanded 17 percent to P861 million from P738 million, mainly coming from Festival Supermall, PBCom Tower and Northgate Cyberzone in Alabang. The increase was attributed to higher lease rates on renewed leases, as well as the contribution of two new BPO buildings that were added in the fourth quarter of 2007 and in the first half of 2008. Three other buildings are currently under construction with one slated for delivery in the fourth quarter and the other two by the middle of next year.

As of Sept. 30, 2008, FLI had a total office building portfolio of 118,000 square meters, with an occupancy rate of 97 percent.

During the period under review, FLI has already launched 18 new projects and phases with a potential sales value of P4.2 billion.

Aside from its MRB projects, FLI is also breaking new ground outside Metro Manila by tapping into high growth regional centers. In Northern Luzon, FLI has launched Somerset Lane in Tarlac, Hampton Orchards and Claremont Village in Pampanga and Tierra Vista in San Rafael, Bulacan. It also has West Palms in Palawan, Filinvest Homes in Butuan and Kembali Coast in Samal Island, Davao.

Kembali is a 50-hectare Asian-Balinese- inspired island resort residential development with a 1.8-kilometer beachfront as one of its main attractions and amenity. In Cebu City, FLI has also launched the Grand Cenia Condotel.

With its sizeable landbank of 2,360 hectares, FLI is ready to launch new projects to meet additional market demand.

As of end-September this year, FLI’s total assets stood at P48.47 billion while stockholders’ equity was at P 37.24 billion.