South China Resources bullish on real estate
MANILA, Philippines—Publicly listed holding company South China Resources Inc. (SOC) is bullish on its expansion into real estate.
JP Reyes, CEO of SOC subsidiary SOC Land Development Corp., said in a statement that the availability of financing options has enabled more Filipinos to buy property.
He also cited the country’s housing backlog, which the Housing and Urban Development Coordinating Council pegged at about four million units.
SOC has substantial investments in oil exploration, real estate, industrial projects, and financial institutions, and has been on the lookout for investment opportunities in the last two years.
In December 2010, SOC chose property development as its new field of endeavor and subsequently established its property arm.
“The decision to enter the property business was a long process with multiple considerations, not the least of which was shareholder value,” Reyes said.
A major factor that contributed to the decision was the opportunity to serve the basic need of Filipinos for housing.
“We like the fact that housing developments have big multiplier effects on the domestic economy. Every peso spent on building houses generates several more pesos in our gross domestic product. More housing investments and production mean more jobs and sales for allied industries,” he said.
SOC Land’s maiden project, called Anuva, offers the market a fresh choice with its reasonably priced units that are shaped differently from those offered by other developers.
