MANILA, Philippines - Cityland Inc., a member of the Cityland Group, has obtained the Securities and Exchange Commission’s approval to issue P1.1 billion worth of short-term commercial papers.
Based on documents filed with the SEC, Cityland said net proceeds from the offering will be used to pay off maturing loans (P423.8 million) and fund the construction of Tagaytay Prime Residences and The Manila Residences II (P624 million). Other proceeds will be used to cover interest expenses (P45.76 million).
The issue is covered by committed credit lines of P2.3 billion from the consortium of Security Bank (P1.6 billion), United Coconut Planters Bank (P100 million), Rizal Commercial Banking Corp. (P350 million), Metrobank (P200 million) and United Coconut Planters Bank (P50 million).
Cityland reported a net income of P188.3 million in the second quarter of the year, down 16 percent from P224.78 million. Total revenues fell 21.5 percent to P594.37 million.
Sales from real estate likewise declined to P169.28 million as against P180.98 million a year earlier.
The Cityland Group is a trusted name in the real estate industry with a track record of developing prestigious condominiums. It has been in the property development business for 25 years.
Other subsidiaries of the group aside are Cityland Developers Corp. CDC) formerly Statehouse Land Development Corp. and City & Land Development (CLD.
CDC was incorporated on Jan. 31, 1978 to engage in the development of land for residential, office, commercial, institutional and industrial uses. The company’s projects include medium to high-rise offices, commercial and residential condominiums located in Makati City and Mandaluyong City and Ortigas, Pasig; and farmlots in Bulacan and Cavite.
CLD, on the other hand, caters to the low-to-middle income segments since its projects are offered at affordable prices. It developed residential units in Paranaque as well as an office and residential condominium project in Ortigas Center, Pasig City.