MANILA, Philippines — Ayala Land Inc., the listed property giant of the Ayala Group, will continue to expand its different business segments, with foot traffic nearly back to pre-COVID-19 levels and as the economy is now well on its way to recovery.
Its hotel portfolio, for instance, has 1,504 rooms in the pipeline, officials said in a recent briefing for analysts and the media.
Higher room rates have boosted performance of the sector last year. Ayala Land’s hotel, and resorts totaled 4,058 rooms with an average occupancy of 59 percent or six percent higher than in 2021 for hotels, and 29 percent for resorts, which reflected an increase of 12 percent.
As for new hotels, Ayala Land is gearing up for the launch of its latest hotel, Seda Manila Bay to open in the second quarter of the year.
Seda Manila Bay will have 350 rooms and will open in the Bay Area in Paranaque City.
Aside from hotels and resorts, One Ayala HQ Tower will open in the fourth quarter of the year.
The new office tower is located right in the heart of the Makati central business district and will have a gross leasable area (GLA) of 12,000 square meters.
For the malls, Ayala Land will open One Ayala Retail also in the fourth quarter of the year with a GLA of 44,000 sqm, as well as Ayala Malls Vermosa in Imus, Cavite with a GLA of 43,000 sqm.
Last year, the property giant reported a net income of P18.6 billion, up 52 percent year-on-year.
The company expects to sustain the momentum this year and has set P85 billion in capital expenditures, up 18 percent from P72 billion in 2022.
Ayala Land raked in consolidated revenues of P126.2 billion last year, 19 percent more year-on-year.
Capital expenditures for 2022 reached P72.4 billion, of which 50 percent was spent on residential projects, 19 percent on land acquisition, 16 percent on estate development, 11 percent on commercial projects, and four percent for other purposes.
For 2023, ALI will launch P110 billion worth of residential developments from P92 billion last year and possibly bring this up to P130 billion if the market is strong, Dy also said.
For this year, ALI will launch four estates. These will be in Batangas, Bulacan and Mindanao.