CHI infuses P39B fresh capital for Cebu projects

CEBU, Philippines — Ayala Land Inc., (ALI) affiliate, Cebu Holdings Inc. (CHI) infuses P39 billion capitalization for its upcoming property developments in Cebu.

CHI president Anecito Bisnar Jr., said the expanded potential for property developments in Cebu prompted the company to invest more.

Aside from its existing joint ventures with big developers like AboitizLand and the Metro Gaisano Group, CHI is also upbeat on considering further proper expansions within the metropolis.

Bisnar mentioned the promising tourism sector in Cebu as one of the primary reasons why the company is pursuing bigger capital expenditure.

In the last five years, CHI has poured at least P14 billion investments in Cebu on its joint ventures, ongoing construction of commercial projects and the upcoming shopping mall project at the Cebu IT Park.

According to Bisnar, Cebu’s economy and growth forecasts remain exciting and dynamic.

Company prospects in retail, tourism, residential spaces, business process outsourcing (BPO) markets, and property leasing have remained strong.

CHI ended 2016 with P2.7 billion in revenues – a mix of retail and office space leasing, residential lot and condominium sales, theater operations and interest, and other income. Its net income stood at P679.7 million while total assets grew to P19.6 billion.

Rental income rose 68 percent boosted the company’s revenue last year, with sales from residential lot and condo sales at 11 percent.

Its subsidiary Cebu Property Ventures and Development Corp. (CPVDC), the developer of Cebu IT Park closed 2016 with P695 million in revenues and P213.6 million in net income, owing mostly to lease income from office buildings. CPVDC’s total assets grew to P5.5 billion. (FREEMAN)