DMCI Homes eyes P13B from new residential projects

MANILA, Philippines - DMCI Homes, the property development unit of Consunji-led firm DMCI Holdings, is eyeing to generate P13 billion in sales from new residential units to be launched this year.

In its disclosure to the stock exchange, DMCI said its real estate arm is targeting to roll out at least seven new projects this year, equivalent to 5,800 units of fresh inventory.

The new projects will be a mix of mid- to high-rise vertical community developments, located in key strategic areas within Metro Manila.

Among these new projects include One Castilla Place in Valencia, Quezon City; Zinnia Towers (located along North EDSA, Quezon City), a high-rise development in another prime Quezon City location along A. Bonifacio St.; Verawood Residences in Acacia Estates, Taguig; Torre de Manila, a high-rise development in Taft Ave. in Ermita, Manila; and Serissa Residences, a medium-rise community along Alabang-Zapote Road in Las Piñas.

DMCI said these projects are in line with the group’s goal of providing top-quality condominium homes to young families.

“We at DMCI Homes continuously offer our customers the highest level of expertise and strict adherence to global standards,” said Alfred R. Austria, DMCI Homes president.

Compared to entry-level studio units mostly comprising the mid-income segment, DMCI Homes offers more spacious options such as two-bedroom units, which are considered its standard or most popular offering among buyers.

The housing segment contributed P1.245 billion to DMCI’s total net income in the nine months ending September 2011, 23 percent higher than the P1.01 billion recorded the previous level.

Revenues rose 25 percent to P5 billion with the timing of completion and realization of sales from existing projects: East Raya, Magnolia Place, Mahogany Place 3, Ohana Residences and Rosewood Pointe.

The growth was attributed to higher margins as prices improved slightly on good product quality.

Sales and reservations grew 24 percent from P11 billion to P13.8 billion in 2011. Increasing demand for DMCI housing units coming mainly from new projects (La Verti Residences in Taft, Pasay City; the Redwoods in Fairview, Novaliches; Siena Park in Bicutan Paranaque and Stellar Place in Quezon City) pushed marketing sales to new heights.

Moreover, increased take-up from added phases in existing projects East Raya and Magnolia Place also added to the growth in sales.