Alphaland H1 earnings rise to P1.7B

Manila, Philippines -  Alphaland Corp., an upscale property firm controlled by Roberto V. Ongpin, posted first semester earnings of P1.68 billion, more than seven times what it reported in the same period in 2011.

This as the company booked a more than three-fold increase in other income to P2.29 billion, mainly due to gains on the fair value of investment properties amounting to P2.07 billion as well as higher value of unquoted club preferred shares.

Total revenues grew 54 percent to P255.25 million, mainly coming from rental and other income from Alphaland Southgate Tower.

Cost and expenses (representing mainly the operating expenses of Alphaland Southgate Tower and market and selling expenses of the group’s real estate projects) more than doubled to P229.09 million from P98.09 million.

As of June 30 this year, Alphaland’s total assets stood at P38.71 billion, up from P33.85 billion in end-December 2011.

The 20-story Alphaland Southgate Tower, situated on a 9,497-square meter lot at the nexus of Metro Manila’s two main traffic arteries, EDSA and the South Superhighway, successfully reached 100 percent occupancy rate with the entry of several large tenants coming from the business process outsourcing sector.  It houses a three-level shopping mall, another level dedicated to an events place, two restaurants and a cigar divan, and the rest to office space.

Alphaland is currently building Alphaland Makati Place, which will comprise three high-end residential towers atop an upscale six-story podium with a shopping center and a City Club dedicated to urban sports and leisure.

Secondary sales of the City Club preferred shares started as early as December 2010 at an initial price of P500,000 per share. A total of 359 shares have been sold as of June 30 this year.

Alphaland Balesin Island Club, a 430-hectare island resort, has already completed construction of the clubhouse, spa, and villa. It will be subdivided into six villages patterned after most luxurious beachside destinations around the world St. Tropez (Cote d’Azur, France), Phuket (Thailand), Costa Smeralda (Sardinia, Italy), Bali (Indonesia), Mykonos (Greece), and Balesin (Philippines).

In September 2011, the Balesin Island Club shares were offered for secondary sale at an initial price of P1 million each. As of June 30 this year, a total of 381 club shares have been sold.

Other projects in the pipeline include the 34-story Alphaland Tower along Ayala Avenue which is expected to service the growing demand for high-end corporate offices in the country when it opens in January 2013; Alphaland Boracay Gateway (a joint venture with Akean Resorts Corp.); and Alphaland Bay City, a 32-hectare planned premium seaside residential, commercial and business community located along Manila Bay beside the Mall of Asia compound.