Investing Stocks in Philippines: Shangri-La Hotels and Resorts

Showing posts with label Shangri-La Hotels and Resorts. Show all posts

Friday, June 29, 2012

Stock News 2012: ALI launches P30-B One Bonifacio High St

English: Fort Bonifacio in Taguig City (Photo credit: Wikipedia)
Ayala Land Inc. (ALI) is aggressively building up its presence in Bonifacio Global City with the launch of a P30-billion premium mixed-use block called One Bonifacio High Street – its biggest investment in one single area to date.

In a briefing yesterday, ALI president Antonino Aquino said they are rigorously expanding in Bonifacio Global City to further strengthen the company’s leadership in developing large-scale, mixed-use urban hubs in the country.

“The aggressiveness is a result of the economy. We have never seen the economy to look this bullish and we want to be in step,” Aquino said.

He said One Bonifacio High Street will soon be home to the new headquarters of the Philippine Stock Exchange and will banner an all suite-residential tower, a high-end lifestyle center as well as a five-star Shangri-La Hotel.

Aquino said half of the estimated development cost for One Bonifacio High Street will be equally divided among ALI and its partners Evergreen Holdings of the Campos family and Fort Bonifacio Development Corp. The other half will be shouldered by the Shangri-La Group, which is building a 577-room Shangri-La Hotel as well as 97 serviced apartments and 99 luxurious residential condominium units.

The investment will be made over a four-year period, he said.

Around P3 billion to P5 billion has been earmarked for the development of the unified stock exchange which is targeted for completion by late 2016 to early 2017. Another P2 billion to P3 billion will be spent for the retail shops.

For the residential component, ALI, through subsidiary Ayala Land Premier, is pouring in P9.9 billion for the 63-story iconic tower, The Suites, which will be the first and only all-suite residential development in the block and is probably the group’s most expensive project in the area, selling at P180,000 per square meter.

Jose Juan Jugo, Group head for ALP, said sales of The Suites have been spectacular with only three units left within 96 hours or since it was launched last June 24. Turnover of the units is slated to begin in the fourth quarter of 2018.

The Suites will house 298 residential suites and limited edition sky villas with sizes ranging from 136 sqm to 430 sqm.

http://www.philstar.com/Article.aspx?publicationSubCategoryId=66&articleId=821972

Sunday, June 17, 2012

Stock News 2012: Shang Properties eyes more acquisitions

Shangri-la Plaza Mall logo (Photo credit: Wikipedia)
Entering its third decade as a premier real estate developer, Shang Properties Inc. of Malaysia’s Kuok Group is on the lookout for potential sites it can add to its portfolio as a sign of growing confidence in the Philippine economy.

“Shang Properties is confident about the Philippine’s economic environment and is expanding our land bank for future investments. We remain well-positioned to actively participate in the property development sector,” said company chairman Edward Kuok in his report to shareholders.

Kuok said the company remains committed to be the leading developer and manager of prime properties in the country through product innovation and excellent service.

Milen Treichler, Shang Properties marketing manager, said the company is looking to further expand its presence in Makati, Fort Bonifacio and Ortigas as it aims to capitalize on a resilient, domestic-driven economy and the government’s aggressive pump-priming activities.

The government is boosting spending to a record this year as it seeks to spur the $200 billion economy’s growth rate to as fast as eight percent from about five percent last year.

It also aims to take advantage of historically low interest rates available today, which is seen to further prop up consumer spending.

Shang Properties is constructing three large-scale projects simultaneously —One Shangri-La Place in Ortigas Center, Shangri-La Hotel at the Fort, and the Shang Salcedo Place in Makati — with a combined development cost of P37.3 billion. The amount includes the P1.8 billion earmarked for renovations of the existing Shangri-La mall, its park building and estate.

Bulk of the P37.3 billion or P18 billion will be spent on the Shangri-La Hotel at the Fort, in which the group has a 40 percent stake. The project, in partnership with Hong Kong listed affiliate Shangri-La Asia Ltd. and Alphaland Development Inc., will feature a 577-room Shangri-La Hotel, 97 serviced apartments, and 99 luxurious residential condominium units.

Construction of the two-tower One Shangri-La Place, the group’s largest development to date commenced in October 2009 and has now reached the 10th level. Both towers which will be 64-storys high, offer a total of 1,304 residential units, of which 60 percent have already been sold to date, generating sales revenues of P6.6 billion. The residences are targeted for completion in 2014.

Development cost for the project, which will rise above the six-level Shangri-La Plaza mall expansion, was pegged at P12.5 billion. Slated for opening in 2013, the new mall will be home to over 150 shops and restaurants and two levels of basement parking.

The upscale residences are slated for completion in 2014.

The company has earmarked around P5 billion for the 64-story Shang Salcedo Place, which will rise on 3,045 square meter lot in Salcedo Village. The project will make available a total of 778 units with a total gross floor area of 60,900 square meters. Pre-selling commenced in May 2012.

In the first quarter this year, Shang Properties reported a 48.8 percent growth in net income to P298 million on the back of a 30.6 percent rise in sales.

Condominium sales amounted to P205.3 million, mainly driven by One Shang Place sales.

http://www.philstar.com/Article.aspx?articleId=818232&publicationSubCategoryId=66

Sunday, June 26, 2011

Stock News 2011: In Boracay, DMCI is at the top of its game

Image via Wikipedia
DMCI Homes, a leader in resort-themed communities, hopes to ride the crest of a property boom on Boracay Island especially with prime areas for real estate development getting scarce on this 1,006-hectare paradise.

Reynaldo Salazar, DMCI Homes director for business development, says Alta Vista De Boracay, DMCI’s first leisure property project built on the serene side of Boracay, has been attracting buyers not only for its promise of a hassle-free vacation house but also for its promising investment potential.

“Land values and construction costs in Boracay have gone up since we started building Alta Vista in 2006. They are bound to get higher as demand continues to rise and very few prime beach properties are left for development,” says Salazar.

Located at Barangay (village) Yapak, in the northern part of Boracay, Alta Vista de Boracay boasts a convenient access to the shorelines of three popular Boracay beaches: White Beach, Puka Beach and Punta Bunga beach, as well as fantastic views wherever you turn your head.

Since it was placed on the map as having the best beach in the world, Boracay has suffered through several setbacks with the influx of tourists and their impact on this fragile jewel between the Tablas Strait and Sibuyan Sea.

But Salazar says it has slowly but surely resolved problems on power, water, sewerage and garbage disposal.

“The airport and the seaport are being developed, utilities are being improved. It still has its problems, but what is important is what the government is doing to address them. Investors have taken notice, with big-name resort operators such as the Shangri-La Hotels coming in recent years,” says Salazar.

The 503-room Alta Vista de Boracay was completed two years ago with 70 percent of all the units sold so far enrolled in DMCI’s condotel investment program.

Salazar says that, compared with other hotels that operate more than 100 rooms on the island, Alta Vista—with competitive room rates of P3,000 to P5,000 a night—has performed at par or slightly better in terms of occupancy rates through the first five months this year.

“We’re confident we can sustain our occupancy further beyond Boracay’s peak and super-peak seasons, which usually last up to two months in a year,” he says.

Salazar says that being a few kilometers away from the world-famous White Beach (Alta Vista de Boracay is at Puka Beach on the northern side of the island) has its positive and negative side.

http://business.inquirer.net/5302/in-boracay-dmci-is-at-the-top-of-its-game