Edgar Saavedra —CONTRIBUTED PHOTO
Construction and energy tycoon Edgar Saavedra is looking to conquer the property sector next as he unveiled an ambitious expansion roadmap that will transform real estate arm, PH1 World Developers Inc., into one of this group’s top earnings contributors over the next few years.
PH1 World Developers, part of Saavedra’s listed construction and engineering company, Megawide Construction Corp., launched two new affordable residential projects on Friday, including its first-ever development in Bulacan province.
Saavedra, who also owns Citicore Renewable Energy, said additional projects will turn PH1 World Developers into the top income contributor for Megawide within three years. He could also decide to raise funds via an initial public offering, although there were no immediate plans to do so.
“It was during the pandemic when we realized the need to upgrade the standards of the real estate industry,” said Saavedra, whose company is recognized as one of the country’s leading contractors before venturing into its own real estate developments.
“We also saw that affordable developments were more resilient so that’s when we realized this is the right business,” he added.
PH1 World Developers, which promises to compete by offering more space and innovations to housing owners, is currently working on expanding its project pipeline.
The one of two projects launched on Friday was horizontal housing development Northscapes San Jose Del Monte. This is a 337-unit development in Bulacan with an estimated sales value of P1.9 billion.
The company also launched the 986-unit Modan Lofts Ortigas Hills in Taytay, Rizal. This is the builder’s high rise development with an estimated sales value of P8.7 billion.
“Through our newest projects, you will see what PH1 World Developers is about: disruption. We will challenge industry conventions and set new standards in property development,” said Ma. Gilda “Gigi” Alcantara, president of PH1 World Developers.
The builder has a landbank of close to 200 hectares in the Greater Manila Area, which includes joint venture arrangements with landowners. It could account for up to a half of Megawide’s construction orders once more developments are rolled out, Saavedra said.
Given their growth targets, Saavedra said PH1 World Developers could achieve earnings before interest, taxes, depreciation and amortization of at least P3 billion by 2025.
“Most [of the projects] will start recognizing sales and revenues by 2025 to 2026,” he explained.
PH1 World Developers’ other projects are The Hive Residences in Taytay, Rizal and My Enso Lofts in Timog, Quezon City. INQ