Filinvest allots P4 B for QC office bldgs bd

MANILA, Philippines - The Filinvest Group of the Gotianun family will spend at least P4 billion starting next year to add 85,000 square meters of office space in Quezon City.

In an interview, Filinvest group head for offices Maricel Brion-Lirio told The STAR that Filinvest Land Inc. (FLI) would put up mixed-used developments in the company’s recently-acquired properties in Cubao and near GMA-7 in Quezon City.

For the office components of the mixed-used projects that would  primarily cater to the business process outsourcing (BPO) business, Lirio said around P2.5 billion to P3 billion is being allocated for the Cubao project while another P1.5 billion to P2 billion is earmarked for the project near GMA-7.

Both projects would  have retail, residential and office components, with the Cubao project featuring a hotel, Lirio said.

The Cubao project would  have around 50,000 sqm of space for BPO business while the GMA-7 project would  have about 35,000 sqm.

Lirio said the two projects would  start construction by the last quarter of next year. The Cubao project is expected to be completed by the fourth quarter of 2019 while the GMA-7 project is eyed to be finished by the first quarter of 2019.

FLI said the names of the projects are still in the process of registration.

FLI’s BPO offices, together with the malls, contribute approximately 30 percent to the property firm’s net income.

The Gotianun-led property firm is looking to boost its office portfolio from the existing 210,000 sqm of total gross leasable area to 275,000 sqm by 2015. Its bigger plan is to more than double its office portfolio and reach 700,000 sqm by 2020.

FLI’s net income was strong in the first half of the year, growing 15 percent to P2 billion. Revenues likewise grew 26 percent to P7.2 billion, supported by a 30 percent uptick in the real estate business and seven-percent growth in the leasing business.

Filinvest Development Corp., the investment arm of the Filinvest Group, is currently into the property business through FLI, power generation through FDC Utilities Inc., banking through EastWest Bank, and sugar production through Pacific Sugar Holdings.