Cebu Landmasters Inc. (CLI) expects its capital expenditure (capex) this year to hit P15 billion to fund ongoing projects, as well as for landbanking. Last year, capex was announced at P14.5 billion, indicating a 3.45 percent increase.
“That includes capex for ongoing projects, those that are launched. So we’re building up all the projects we’ve launched in the recent past, potential land acquisitions and as well as projects that we are newly launching like the one in Cagayan de Oro,” Grant Cheng, CLI chief finance officer, said on Friday.
Last January, CLI announced its plan to jump-start development of two condominium towers and a horizontal project, one in Manila and another in areas around Batangas and Cavite.
In Cagayan de Oro, CLI is working on the 14-hectare Manresa Town, eyed to be an integrated residential, commercial and lifestyle space north of Mindanao.
Manresa Town is on its first residential condominium named One Manresa Place, which will feature three residential towers with 940 units launched late last year.
In the first nine months of 2024, CLI launched P8.2 billion worth of projects with 1,664 residential units, a balanced mix of 57 percent targeted for the mid-market segment while 32 percent is for the economic segment, it said.
New project launches are 89 percent sold out, indicating high demand for its products, the company added.
Last Friday, CLI listed on the Philippine Dealing and Exchange Corp. its P5 billion sustainability-linked bonds.
This marks the second tranche of its P15 billion shelf-registered borrowing program. It still has P5 billion left to issue, the company said.
“The newly listed Series D and E bonds, due in 2028 and 2030, respectively, received strong market reception,” CLI said in a statement.
The Series D bonds, totaling P2.86 billion, carry an interest rate of 6.6348 percent, whilethe Series E bonds, worth P2.14 billion, have an interest rate of 6.9157 percent, it added.
“With this sustainability-linked bond, we are strengthening that commitment by holding ourselves accountable to a measurable target—building 16,000 more affordable homes by 2028. In just five years, we will more than double what we have achieved over the past two decades,” said Jose Soberano III, CLI chairman, in the statement.
“The company has already built over 14,000 affordable housing units, a number that will exceed 30,000 by the bond’s maturity,” Soberano said.
