AYALA Land Inc. (ALI) is still the biggest spender among real estate developers in the country this year despite its recent announcement that it was cutting by as much as 20 percent its programmed P100 billion capital expenditure (capex) for 2015, according to property listing site Lamudi Philippines.
Lamudi Philippines compiled a list of real estate developers in the country with the largest spending allocations for this year.
ALI, a subsidiary of Ayala Corp., earlier announced it has decided to trim its P100 billion capex budget for this year to around P80-90 billion to prioritize its land banking initiative.
The property listing site noted that the local real estate sector has been one of the largest contributors to the country’s gross domestic product (GDP) average growth.
“Rapid urbanization coupled with the continued rise of the residential sector have been the key sources of growth for local real estate, and is one of the main reason for several developers’ leading the way for record capital expenditures,” said Lamudi Philippines.
Lamudi listed Henry Sy’s SM Prime Holdings at number two with a planned capex of nearly P80 billion for 2015, followed by Andrew Tan-led Megaworld Corporation with a capex budget of P65 billion.
Megaworld’s P65 billion capex budget is part of its five-year capital spending program of P285.8 billion until 2019 that will focus on building residential and hotel projects, office buildings, as well as malls and commercial centers within its integrated townships.
Fourth on the list is Manny Villar-led Vista Land & Lifescapes Inc, with a capex budget of P25 billion. The firm has already launched P12 billion worth of projects in the first quarter of this year alone.
Filinvest Land Inc. landed at number five on the list with a capex budget of P24 billion. The firm plans to launch a high-end residential development along Daang Hari by the end of the year.
Other property developers that made it to Lamudi Philippines’ list of biggest spenders for this year are Robinsons Land Corporation with P17 billion, Federal Land with P15 billion, Rockwell Land with P13 billion, DMCI Homes with P12 billion and Shang Properties with P10 billion.