Megaworld unveils P230-B spending plan

MANILA, Philippines - Leading property developer Megaworld Corp. unveiled yesterday a P230-billion capital spending program over the next five years to further beef up its residential, office, hotel and retail portfolio across the country.

On the sidelines of the company’s 20th listing anniversary, Megaworld chairman and CEO Andrew Tan said the group is  bent on further accelerating its pace of development to sustain its leading position in the industry.

 â€œAs we continue to break old records and set new trends in the Philippine property market, we are motivated to work even harder to maintain our leadership position as the No. 1 residential condominium developer and BPO office landlord in the country,” Tan said.

Under the five-year plan, Megaworld will roll out at least 10 residential projects and six office towers annually and   set up commercial spaces in Quezon City, Taguig City, Makati City, Cebu, Iloilo and Davao.

The company also expects to reach one million square meters of office space in the next five years.

The total capex, which excludes the spending program of its mid-income and low-cost housing units Empire East Land Holdings and Suntrust Properties, will be funded by a combination of debt and internally-generated cash.

Megaworld is currently developing two new townships - Woodside City in Pasig and the Davao Park District - with a combined cost of P50 billion.

Located at the former site of the 12.3-hectare Ajinomoto factory along C-5 road, the P35-billion Woodside City will comprise clusters of residential, commercial and office buildings.  The initial phase will consist of three high-rise office towers with a floor area of 150,000 square meters. The first tower is targeted for completion by 2017.

The Davao Park District in Lanang, Davao City,  being positioned as the city’s central business district (CBD), will be Megaworld’s first township in Mindanao.  A 15-story office tower, which forms part of the first phase of the township’s office development, is slated for completion by 2016.

Aside from these two new developments, Megaworld is also expanding Eastwood City to 18.5 hectares to take advantage of a resurgent call center industry and the rising demand for residential condominiums.