Megaworld Corp. has increased its capital spending budget for a five-year development plan to P285.8 billion from the previously announced P230 billion after adding new mixed-use township projects into the pipeline.
“We have adjusted our capital spending to pave the way for the expansion of offerings in our existing townships and for additional township projects that we recently announced,” said Francisco Canuto, Megaworld senior vice president and corporate information officer.
“We have sufficient landholdings to sustain our plans to expand our townships all over the Philippines. While we continue to create and expand our mixed-use communities in Metro Manila, we will also expand our presence in the provinces, especially in major growth centers,” he said.
For the first year of the five-year blueprint, the company has set aside P65 billion capital expenditures (capex) to inject more residential, office, hotel, malls and commercial center components within its existing urban townships.
About 74 percent of the P65 billion will be spent on project developments mostly in townships while the rest—26 percent —will be for land acquisition and property investments.
This year, the company is set to launch three hotels in Boracay Newcoast; ten office towers in McKinley West, McKinley Hill, Eastwood City, Woodside City, Davao Park District and Southwoods City; as well as three malls and commercial centers across its townships nationwide.
The firm, together with its subsidiaries, will also introduce 22 residential projects this year in Metro Manila, Laguna, Batangas, Boracay, Iloilo and Bacolod.
The announced earlier it will add five more townships this year amounting to 400 hectares—two in Luzon, two in Visayas and one in Mindanao—from its current 15 townships across the country, which will raise total township development to 3,100 hectares from the previous 2,700 hectares.
Two out of the five new townships include the 34-hectare The Upper East and the 50-hectare Northhill in Bacolod City. Megaworld has set aside P35 billion for the Bacolod townships.
Megaworld has announced said the firm will build more than 20 malls in its 20 townships in the next five to eight years, which will amount to 600,000 to 700,000 square meters of gross leasing area.
Megaworld has capped 2014 with 16 completed residential projects and five business process outsourcing (BPO) office towers with retail components.
Last year, the company has launched five townships totaling to 1,000 hecatares of land. These are the 12.3-ha Woodside City in Pasig City; 561-ha Southwoods City in the boundaries of Cavite and Laguna; 11-ha Davao Park District in Lanang, Davao City; 62-ha Alabang West in Las Pinas City; and 350-ha Suntrust Ecotown in Tanza, Cavite.
The company’s notable townships include 18.5-ha Eastwood City in Quezon City, (18.5 hectares); 50-ha McKinley Hill, 34.5-ha McKinley West and 15.4-ha Uptown Bonifacio.