DEVELOPER Shang Properties Inc. is allotting P3 billion to P4 billion to capital expenditures this year, focusing on the residential market, a company official said.
“We have the existing investments. So, we have to finish the One Shangrila Place even if it’s almost there, Shang Properties Vice President and Financial Controller Kinsun Ng told The Manila Times.
“Shang Salcedo Place, that’s in Makati, it’s going to turnover this year, so we have to finish it. And also we have The Rise in Malugay Street, so we have to finish construction this year,” Ng added.
Ng noted the main focus this year is to complete the condominium project in Makati City. “Mainly, this year, is the Shang Salcedo Place. We’ll start turnover in the third quarter.”
Despite a possible slowdown in the residential market, as industry analysts have cautioned, Ng noted the company remains positive about the market.
“We are still optimistic at this moment, but we are also very careful. There’s always a cycle – up and down, up and down. We already had a good several years. So if there’s any adjustment in the market, I won’t be surprised,” Ng said.
Shang Properties continues to build its land bank and intends to make acquisitions in business districts.
“Right now, we’re still focused in the Manila area, so hopefully we can get some good properties in Makati, Ortigas, or Fort. These are the areas where we will focus most of our attention on now,” Ng said.
The company recently acquired a 3,361 square meter property in Wack-Wack, San Juan City, which will be developed into a vertical residential tower.
“We just bought the land this year, and it’s still under the design stage. Most likely it will be a high-rise,” Ng said.
The project will likely happen next year.
While Shang does not intend to take its business outside of Metro Manila, it is ready to take advantage of future possibilities.
“At the moment, we are focused on the high-end residential. And if there is opportunity in other areas outside Manila, yes we are open,” Ng concluded.