Megaworld township development gets lift from MREIT sale

MANILA, Philippines — The development of four Megaworld townships are set to get a boost following the company’s recent sale of MREIT shares amounting to a little over P980 million.

Based on its reinvestment plan, Megaworld said it would use net proceeds from the share sale last week to fund ongoing and future investments in real estate properties in four townships in Bulacan, Cebu, Metro Manila and Bacolod.

In particular, the amount will be used for the development of malls, offices and other developments within each township which Megaworld may undertake on its own or through other subsidiaries.

One of these townships is the Mactan Newtown in Cebu, which is 47 percent complete and is eyed for completion by 2026.

Also slated to be finished by 2026 are the Northwin Global City in Bulacan and the company’s projects in Bacolod which have a completion rate of 20 percent and 43 percent, respectively.

Arcovia City in Pasig, which is 17 percent complete, is set to be finished by 2028.

“While the company is not contemplating acquiring land at this time, there is nothing preventing it from doing so in the future in accordance with the requirements of the law, if the timing and opportunity is right,” Megaworld said.

The listed real estate giant of tycoon Andrew Tan last week raised P980.32 million following the sale of 79.7 million common shares in real estate investment trust unit MREIT at an average price of P12.3001 apiece.

Megaworld last April also sold 40.65 million common shares in MREIT through a block sale transaction.

The shares were sold at a price of P12.30 apiece, resulting in a total transaction value of around P500 million.

Megaworld has a portfolio of master-planned integrated urban townships, integrated lifestyle communities and lifestyle estates across the country.

It is aiming to end 2024 with 35 townships as it celebrates its 35th anniversary this year.

The recently launched Lialto Beach and Golf Estates in Lian, Batangas is the Megaworld Group’s 32nd township development.

Meanwhile, Tan’s listed holding company Alliance Global Group Inc. (AGI) yesterday clarified that the departure of former executives Kingson Sian, Hakan Dagtas and Bernard Than was due to the conclusion of the year-long transition plan for subsidiary Travellers International Hotel Group Inc.

AGI said this was part of its assumption of full ownership of Travellers International on May 30, 2023.

Kevin Tan took over as president of AGI after Sian relinquished his position as director, president and COO of the company following his retirement from Travellers International Hotel Group last June 1.