MEGAWORLD Corp., the flagship property company of tycoon Andrew Tan, announced an aggressive spending program on its township projects outside Metro Manila, as the incoming Duterte administration signaled plans to boost economic development outside the country’s capital district.
Megaworld announced on Friday it would spend P180 billion over 10 years to complete 12 township projects in key provinces.
The company has been building its nationwide land bank in the past several years, Megaworld executive director Kingson Sian said during the firm’s stockholders meeting on Friday. It now has about 4,000 hectares of land, 3,000 hectares of which have been developed for various township projects that started with the Eastwood City.
Townships refer to large mixed-use complexes that combine residential, commercial and retail components. Some of these self-contained communities have benefited in recent years from the growing road congestion, since residents do not have to leave the complex’s confines to access basic necessities and entertainment.
Sian said Duterte’s focus on growing key provincial areas was good for Megaworld’s business.
“That tells you we are in line and in sync with the economic agenda of the government,” Sian said.
The provincial townships to be developed include Megaworld’s Iloilo Business Park in Mandurriao, Iloilo City; The Mactan Newtown, in Lapu-Lapu City, Cebu; Davao Park District in Lanang, Davao City; Northill Gateway in Talisay City, Negros Occidental; The Upper East in Bacolod City; The Capital in the City of San Fernando, Pampanga; Twin Lakes in Alfonso, Batangas near Tagaytay; Southwoods City in the boundaries of Cavite and Laguna; Suntrust Ecotown in Tanza, Cavite; Sta. Barbara Heights in Sta. Barbara, Iloilo; Boracay Newcoast in Boracay Island, and Maple Grove in General Trias, Cavite.
According to Megaworld, all of its 21 township projects in the country spanned 3,061 hectares.
“If we did not have the land, this would take time,” Sian said.
Sian said Megaworld was open to making new land acquisitions, but noted that its existing land holdings were sufficient for at least 15 more years.
Out of the twelve provincial townships, seven are already partially operational while four are lined up for development in the next three years.
Megaworld earlier said capital spending this year would hit P55 billion. It was spending another P176.3 billion between 2017 and 2019.