Robinsons Land earmarks P9 billion for 2010 capex

MANILA, Philippines - Robinsons Land Corp. (RLC), the Gokongwei family’s property arm, is allotting up to P9 billion for its capital expenditures this year to further expand its retail, residential, office and hotel portfolio.

On the sidelines of the launch of its newest middle-income residential project, Escalades South Metro, RLC president and chief operating officer Frederick Go said the capital budget for this year, which is roughly the same amount spent in 2009, is fully covered and does not require any immediate fund-raising activity.

RLC, the second largest shopping mall developer in the country with 29 malls nationwide, raised around P10 billion from twin bond offerings undertaken last year.

Go said the company is also studying the possibility of introducing real estate investment trusts (REITs) but didn’t say how much it would offer.

He said RLC has lined up several new and expansion projects under its four residential brands – RobinsonsLuxuria (which caters to the high-end property segment), Robinsons Residences (which targets buyers of condominium buildings in the commercial business district), Robinsons Communities (which targets buyers that prefer suburban living), and Robinsons Homes (which focuses on provincial projects).

Christopher Narciso, RLC vice-president for operations and special projects, said Escalades South Metro is a 12-story eight-tower development located in a 2.2-hectare property along Meralco Road in Muntinlupa City. Narciso said the company is eyeing P1.7 billion in gross sales from Escalades South Metro which will make available a total of 1,056 units or 132 units per tower.