Double Dragon Properties Corp., the joint venture company put up by the founders of Mang Inasal and Jollibee Foods Corp., has secured a long-term lease agreement with a Visayas-based company for its two community mall projects in Iloilo City.
In a filing with the Philippine Stock Exchange, City Mall Commercial Centers Inc. (CMCCI), the mall development arm of DoubleDragon, said it signed on Monday a
26-year lease agreement with Iloilo Commercial Development Corp. (ICDC) for two properties in Iloilo where two city malls will be built.
ICDC is owned and controlled by the Iloilo-based Que family. It currently operates Iloilo Supermart, the largest supermarket community mall chain in the city with seven branches.
“The Que family has been in the supermarket business for over 30 years in Iloilo. The Que family owns several properties for their expansion and were also planning to expand their own community malls but decided to work with CMCCI instead,” DoubleDragon told the local bourse.
The areas covered by the two lease agreements are located in Barangay Ungka in Pavia Town and in Tagbak, Jaro District in Iloilo City. The Ungka, Pavia site is a 1.19-hectare property while the Tagbak, Jaro site measures 8,000 square meters.
CMCCI, the umbrella company of all CityMall projects in the country, is 66-percent owned by DoubleDragon and 34 percent owned by SM Investments Corp.
It was earlier reported that DoubleDragon aims to open 100 CityMall community malls by 2020 and aims to hit P1-billion in net profit by 2016 and P4.8 billion by 2020.
CMCCI said that a large portion of this profit target is expected to come from the recurring rental income of one million square meters of total leasable space that the company is currently building and those that it is about to launch.