PROPERTY giant Ayala Land Inc. (ALI) is speeding up the developments of office buildings in its integrated mixed-use development of the 74hectare Arca South in Taguig to meet the increasing demand in commercial office space.
Stephen Comia, ALI project development manager, said is opening four office towers in the first five years of development.
“We accelerated development of the office because of the demand for office spaces. And it takes time to lease the area, so we want to be ready if the demand pours,” Comia said.
In a press briefing, Comia unveiled the timeline for Arca South reflecting the completion of Towers 1 and 2 for the business process outsourcing (BPO) sector and Ayala Malls by 2017, as well as the opening of residential developments, Seda Hotel, and Towers 3 and 6 of Ayala Land Offices by 2018, as well as the QualiMed Hospital by 2019.
Increasing the launch of office towers to “two per year from the previous one per year” reflects the robust demand of office area especially in the BPO segment, Comia noted
To date, the Ayalaled property company has spent about 50 percent of an P80-billion investment in Phase 1 of the development from 2014 to 2019 – mainly on road and other infrastructure works.
This year, the company is setting aside P100 billion on spending which will be sourced from a P16billion share placement in February as well as internally generated cash and P15 billion to P20 billion from various debt-raising initiatives.
The company posted a 19-percent increase in net income in the first quarter of the year to P4.1 billion from P3.5 billion on-year. Consolidated revenues increased by 10 percent to P25.1 billion from P22.7 billion.
KRISTYN NIKA M. LAZO