Landco allots P1B for capex

Landco Pacific Corp. is allotting P1 billion for its capital expenditure (capex) this year, Landco president Alfred Xerez-Burgos Jr. announced yesterday.

Landco, which is celebrating its 15th year as a real estate developer, continues with its "maverick" style of development focusing on its patented "leisure resort" developments and concentrating on high-end residential developments outside of Metro Manila and commercial development in key cities nationwide.

Landco has even branched out to memorial parks, initially in Zamboanga, Davao, General Santos, Iloilo, Biñan, and Cagayan de Oro.

Burgos said that Landco’s modest success in the past 15 years has been based on the tenet that as a property developer it should always do its best and not tarnish its reputation by doing a sloppy or substandard project.

Landco, likewise, Burgos said, has avoided the pitfall of investing heavily in land-banking and has instead opted into joint venture development with big property owners.

Another successful strategy of Landco has been to avoid competing in the already crowded Metro Manila market and instead tap the provincial market which is also eager for high-end residential developments.

Landco’s provincial residential developments are known as First Homes.

In fact, Burgos said, about half of its sales is from overseas contract workers.

Landco’s premier project this year will be another first of its kind residential and tourism estate in the beach town of Calatagan, Batangas.

It is also planning to spend another P200 million for the expansion of its Pacific Mall in Legazpi City and a fifth offering of its First Homes development.

Landco Pacific began in 1990 when Burgos founded a consultancy firm after leaving Ayala Corp.

Burgos controls 40 percent of Landco although majority shareholder is the Metro Pacific Corp. with 51 percent and the rest is held by executives of Landco.

Landco’s other well-known developments include Peninsula de Punta Fuego and Terrazas de Punta Fuego, the Ponderosa Leisure Farms and Canyon Woods.

It’s provincial developments include Ridgewood Park Nature Estates in Lucena, Quezon, Waterwood Park in Baliuag, Bulacan, and Stonecrest in San Pedro, Laguna.

Landco has also built "value malls" in under-served cities-the N.E. Pacific Mall in Cabanatuan, and Pacific Malls in Legazpi City and Lucena City.