High-end real estate developer Century Properties Group Inc. (CPG) unveiled its P2-billion horizontal housing project in partnership with Mitsubishi Corp. that will cater to first time home buyers in the Philippines.
CPG launched on Monday its first housing project with Mitsubishi, offering 3,000 housing units in Tanza, Cavite. The brand name and the product offerings will be announced within the second quarter of 2017.
“The launch of this new segment effectively expands the company’s portfolio of residential offerings, from luxury and mid-priced condominiums in the business districts and city centres to competitively-priced first homes within boom towns outside of Metro Manila, while maintaining Century’s tradition of quality, innovation, and unique customer experience across all market segments,” Marco R. Antonio, CPG chief operating officer and managing director for the company’s first home unit, said in a statement.
The project stems from the partnership deal with Mitsubishi in November last year, which aims to develop housing projects that will help ease the 5.5 million housing backlog in the country for 2011 to 2016. The partnership authorized its first joint project, a 2,877-unit housing community in a 26-hectare area in Tanza, Cavite.
One unit costs at least P1.1 million, which also has an amortization of about P9,000 per month. This competitive price point in the affordable segment is one of its kind, Antonio said.
“This unbeatable value at this price point will make first home buyers proud to own and live in a Century home,” he added.
Antonio said the venture in affordable housing will cater to the underserved end-user market of first time homebuyers, who are still familiarizing themselves in purchasing property but are already planning to move out of rented apartments or their parents’ houses in their search for a home for their young families.
“This new division of Century answers the dreams, needs and aspirations of first-time homebuyers through a complete housing package that go beyond the essential propositions of a good location, convenience and attainable price points,” Antonio said.
“Century’s first home unit democratizes home ownership and makes it available to a wider set of Filipinos who aspire for an enhanced quality of life. As this is their first experience to acquire a home, we will simplify the process and make each step convenient for them,” he added.
The move seeks to address the strong housing demand in the segment of the expanding middle class, which is highly driven by the surge of remittances from overseas Filipinos, BPO industry growth and shift towards smaller households due to rising incomes.
The Cavite project is within the growth areas that Century is currently looking at. These are the Region IV-A or the Calabarzon region —Cavite, Laguna, Batangas, Rizal, and Quezon—and Central Luzon, where 33 percent of overseas Filipino employees come from. These areas present wide opportunities for infrastructure-related, real estate and consumer businesses.
The entry to affordable housing segment is a part of Century’s 2020 plan to double revenues and ramp up its leisure and tourism projects, commercial retail and office units, as well as diversify into affordable housing with a yearly budget of P10 billion.
By 2020, the firm’s revenue mix will be equally divided to one-thirds each of: commercial leasing; vertical residential condominium towers; and horizontal residential units as well as leisure and tourism projects.
Incorporated in 1975, CPG is involved in the high-end real estate business through its subsidiaries Century City Development Corp., Century Limitless Corp., Century Communities Corp. and Century Properties Management, among others.