Rockwell expands property portfolio
Rockwell Land Corp. is expanding its recurring income revenues with the development of prime office and retail property.
The listed property developer reported that it recently signed two long-term lease agreements for office and retail space which could contribute some P500 million to the company’s annual income streams beginning 2017.
The agreements covered a 1.3-hectare tract in San Juan City, and a 1-hectare lot on the corner of United and Sheridan Streets in Mandaluyong City. Both are expected to add 68,000 square meters of leasable space to the company’s office and retail space portfolio.
Development is expected to be completed by 2017. Both properties will cater primarily to the growing BPO industry.
The company reported an increase in its 2014 commercial development revenue by 42 percent, or P1.4 billion. Its Power Plant Mall, Rockwell Business Center, 8 Rockwell and Aruga Serviced Apartments accounted for the bulk of Rockwell Land’s revenue.
The company’s commercial development business remains robust with its share of revenue rising to 16 percent, compared with the 13 percent seen in 2013.
With the addition of Rockwell Business Center Tower 3 and 8 Rockwell, the company’s first premium office building at the Rockwell Center may open in the fourth quarter of this year.
Rockwell also announced an increase in the company’s 2015 capital expenditures to P13 billion—almost 50 percent more than last year’s allocation of P8.7 Billion.
The company further reported the recent acquisition of two prime residential properties that would deliver an additional 230,000 square meters in gross floor area.
The two properties will be introduced under Rockwell Primaries, the company’s subsidiary catering to the broader market segment.
“After the launch of 53 Benitez, Rockwell Primaries’ flagship project, we are set to develop properties in … Pasig City and Sucat, Muntinlupa City,” said Nestor J. Padilla, president and CEO of Rockwell Land.
This year the company plans to launch “The Vantage at Kapitolyo,” a half-hectare lot in Barangay Kapitolyo, Pasig City. It will be Rockwell Primaries’ first high-rise development.
Also, it plans to establish an exclusive condominium village on a 6.5-hectare property in Muntinlupa. It is touted to be Rockwell Primaries’ biggest development to date.
The two developments are expected to generate P12 billion in revenues.
