Developer eyes P30B expansion


    Century Properties Group Inc. intends to spend P30 billion for the next three years — or about P10 billion a year — for its expansion plans.

    The company will boost its affordable housing, office leasing and residential condominium businesses.

    Marco Antonio, Century Properties president,  said the expansion will improve the company’s current revenue mix which at present comes from condominium sales.

    “We’re coming from a 85 percent condo and around 10 percent affordable and 5 percent for leasing. This year, we still expect our main revenue drivers to be our condo (business)… but the contribution of affordable housing is accelerating. What was coming from a negligible number like 10 to 11 percent, that should further rise to mid-double digits… and then leasing coming from 5 percent now should be closer to maybe more than 10 percent this year,” Antonio said.

    For condominium units, Antonio said Century Properties currently has around P26 billion unbooked revenues and around P16 billion to P18 billion of unsold units. “That will continue to be a revenue driver,” he added.

    Antonio said Century Properties plans to launch three to four affordable housing projects this year.

    “We are launching a new brand in terms of our condos… Instead of high rise, (the new company) will (build) mid-rises, and that’s going to be in multiple locations,” he said.

    “If there is a backlog of 6 million outside Metro Manila, there is actually a backlog of a million within Metro Manila for value-oriented affordable condos with a price point of around P3 million to P5 million. That’s going be an exciting new chapter for Century,” he added.

    The company eyes a mixed-use development on “a significant size of land” in Novaliches.

    “In terms of leasing, we will continue to be building a couple of buildings, or one to two buildings every year,” Antonio said.

    Century Properties on January 10 listed its P3-billion preferred shares issuance, divided into an initial P2 billion and another P1 billion greenshoe option.

    Antonio said the company is encouraged by the reception for the fund-raising.

    “With the acceptance of the bond and equity markets, we would like to take advantage of the atmosphere. At the opportune time, if the investors continue to support us, we hope to go back to the market,” Antonio said.