By VG Cabuag
ETON Properties Philippines Inc., the property-development arm of the LT Group Inc., said it will spend P9 billion this year, or double of last year’s expenditures of just P4.3 billion, as the company increases its recurring-income portfolio.
“We believe that the real-estate market will remain strong in the segments where Eton operates, and that there is room for us to pursue its expansion plans beginning 2015,” said Josefino Lucas, the company’s deputy chief operating officer.
“Among the company’s 2015 plans is to launch a mixed-use development composed of a high-rise condominium, a boutique mall, and a business-process outsourcing [BPO] office building. Plans are also to commence construction of a fifth building for the BPO firms in Eton Centris, and to expand Centris Walk, in order to increase our retail footprint and enhance recurring income streams,” Lucas told reporters after the company’s stockholders’ meeting.
This year’s spending budget will form part of the company’s plan to spend at least P28 billion until 2019.
“We are confident that our rental operations will remain strong in 2015. We are experiencing high occupancy rates in our office buildings given the strong demand from the outsourcing industry, and we see this trend continuing,” Lucas said.
With the real-estate industry remaining robust, Lucas said that interest in Eton’s projects will be sustained, providing the company with avenues of growth this year.
Eton’s partner is Eton Properties Ltd., an established real-estate brand in Hong Kong and mainland China. With an extensive land bank in strategic locations all over the country, Eton specializes in high-end and mid-income high-rise and horizontal residential developments, office projects, commercial centers and mixed-use township developments.
Eton is planning to almost double its current gross leasable offering of 156,000 square meters to 300,000 square meters over the next two to four years.
Lucas said 70 percent of the company’s total revenues come from residential projects, while the remaining 30 percent is from its leasing business. Eton plans to increase the contribution of leasing to 35 percent by year end and 50 percent by 2020 through its five-year expansion binge.
He said Eton’s leasing revenues this year would easily hit P1.1 billion or P1.2 billion, up from last year’s P740 million.
Currently under design development is a high-rise residential condominium project, three office towers, and a boutique mall. The residential condominium is part of the company’s 1-hectare mixed-use development in Makati City called Eton WestEnd Square.
The high-rise building, Eton’s fifth condominium project in Makati City, is along Malugay Street near Chino Roces Avenue and steps away from Ayala Avenue and Sen. Gil Puyat Avenue.
In the pipeline are studio, one-bedroom and two-bedroom units that will be complemented by retail spaces at the lower ground floor of the building.
Within the mixed-use development is a planned boutique mall and a BPO office building, which will cater to professionals in the outsourcing business.
1 comment
Puro delay tunrover mga projects nila, sino pa kaya bibili dyan