2 Ayala units to join Cebu project
Property giant Ayala Land Inc. (ALI) has given two of its publicly-listed Cebu-focused affiliates the right to acquire a 15-percent interest in a 15-hectare mixed-use city center project in Mandaue that will be developed in partnership with the Aboitiz group.
In a disclosure to the Philippine Stock Exchange Thursday, ALI said it had assigned to affiliates Cebu Holdings Inc. (CHI) and Cebu Property Ventures and Development Corp. (CPVDC) the right to participate in the joint venture project with AboitizLand.
CHI has the right to acquire 10 percent and CPVDC 5 percent of the authorized capital stock of the joint venture company that will be established with AboitizLand. This leaves ALI with a direct interest of 35 percent.
“This undertaking will allow the company to benefit from the local knowledge and expertise of CHI and CPVDC, leading to better efficiencies and possible synergies that will maximize opportunities in the Cebu property market,” ALI said.
Targeted for launching by 2015, the city center, which will be within the vicinity of Cebu’s main business districts, is envisioned to feature innovative residential developments and commercial space with retail and office components. It will also have direct access to major road networks and public transport facilities.
The Mandaue City development will be ALI’s fourth major mixed-use district in Metro Cebu after Cebu Business Park, Cebu IT Park and an upcoming Mactan development. For AboitizLand, it will be its 20th development. The latter has a diverse portfolio of integrated residential communities, commercial pockets and industrial parks, such as Pristina North, The Persimmon Towers, Ajoya, Mactan Economic Zone 2 and the Outlets.
Article continues after this advertisementCHI is into the leasing of commercial and office space, and the selling of commercial land, residential condominium sales, proprietary sports club shares, residential subdivisions and leases of office space (e-office) through 76 percent-owned subsidiary CPVDC. It is also into hotel development/operations through 37 percent-owned affiliate Cebu Insular Hotel Co. Inc. It also owns and manages Cebu Business Park, a 50-hectare business and commercial subdivision in Cebu City. Doris C. Dumlao
