Megaworld allots P50 billion for 2022 capex

MANILA, Philippines — Megaworld Corp. is allocating P50 billion for capital expenditures this year, higher than last year’s spending, as it gears up for economic recovery along with improved mobility and eased restrictions.

Megaworld chief strategy officer Kevin Tan said the company expects more opportunities this year as the country continues to recover from the pandemic.

“We have accelerated some projects to pave the way for opportunities coming from the pandemic recovery,” he said.

This year’s capex is 39 percent higher than last year’s, with 75 percent to be spent for real estate developments, particularly on the construction of new residential properties and land development of townships.The remaining 25 percent will be spent for investment properties and land banking.

Last year, Megaworld’s actual capital spending reached P38 billion, almost six percent higher than the programmed spending, as eased restrictions allowed the resumption of construction activities during the period.

Alongside a higher capex this year, the company is also launching four additional townships across the country, covering 500 hectares of land. One will be in Metro Manila, two in CALABARZON, and another in Mindanao.

The 500 hectares will add to the company’s existing land bank of around 4,500 hectares.

The four new townships will bring Megaworld’s townships to 32 this year, Tan said.

Megaworld has 28 integrated urban townships, integrated lifestyle communities, and lifestyle estates in around 30 cities across the country.

“We look forward to further expanding our portfolio of residential, office, hotel, and mall properties in these new areas that are considered among the key growth centers in the country today,” Tan said.

Megaworld plans to launch 14 new residential and commercial lot projects with a total sales value of P30 billion. These new projects are in in Maple Grove and Arden Botanical Estate in Cavite; Eastland Heights in Rizal; The Hamptons Caliraya in Laguna; The Upper East in Bacolod; Iloilo Business Park in Iloilo City; Capital Town in Pampanga; McKinley West in Taguig City; Alabang West in Las Piñas City; Arcovia City in Pasig City; Paragua Coastown in Palawan; Northwin Global City in Bulacan; and another in Makati City.