SMDC to create RFO marketing unit

MANILA, Philippines - The condominium builder of mall and banking conglomerate SM Investments Corp. is creating a marketing arm for its ready-for-occupancy (RFO) residential units.

A maximum of 20 percent of the SM Development Corp.’s condominium units will be set aside for the niche market, an official said.

“We’ll create a separate unit for RFO...It’s a different package altogether,” said Aye Luna, assistant vice-president for marketing of SMDC.

While SMDC customers are used to acquiring residential units through pre-selling, the company is introducing RFO units for those who want to quickly move in, Luna said.

“So now, since we’re catering to a different set of market because there are people who don’t buy unless they see the unit,” Luna said.

In 2013, real estate sales of umbrella property firm SM Prime Holdings Inc. reached P20.78 billion. SMDC, for its part, launched three projects: Grass Phase 2, Shore and Trees Residences.

Luna said SMDC will set aside 10-20 percent of total residential units per tower and sell it as RFO units.

“These are brand new units. We can sell it but we are putting more add-ons to it,” Luna said, adding that SMDC will hold on to such units to derive higher selling value.

SMDC, one of the top condominium builders in the country, is turning over seven projects this year including units at the Chateau Elysee, Field Residences, Mezza Residences, Berkeley Residences and WindResidences.

For this year, SMDC committed to spend as much as P18 billion as it launches four new residential projects to cater to continuously growing demand.

SMDC will offer 11,000 new residential units this year, up from 10,000 in 2013.