Ayala to invest P10B in Bonifacio development
By Miguel R. Camus, Business Mirror
AYALA Land Inc. (ALI) is bullish on its Bonifacio Global City project in Taguig, baring on Tuesday a plan to pour in as much P10 billion worth of projects over the next two to three years in the budding central building district.
In a press briefing, Ayala Land president Antonino T. Aquino said the bulk of the investment will be used to expand the company's residential, office and retail presence within the Serendra and Bonifacio High Street area.
Aquino said the company is expecting to add between 30,000 square meters (sqm) to 35,000 sqm of retail and office spaces along the kilometer-long Bonifacio High Street which, in turn, will support the Serendra residential community.
"The office component completes the development. It will make the residential [developments] very real," the company official told reporters yesterday.
Other projects in the pipeline include the new headquarters for sister-company Globe Telecom and the Mind Museum at the end of Bonifacio High Street. The developer also plans to launch within the year its first boutique-style hotel catering to businessmen.
Aquino expects Ayala Land's products targeting the upper income market-along with the rest of the company's brands-to continue to do well this year.
High-end brand Ayala Land Premier (ALP) accounts for 40 percent of the company's residential sales, which last year amounted to P26.84 billion.
"Demand for Ayala Premier products have already tripled so far," Aquino said.
From an investment perspective, valuations in Serendra have risen at least 50 percent from P90,000 per sqm in 2004, he said. In addition, the rental yield is pegged at between 8 percent to 11 percent per annum.
For this reason, ALP yesterday launched the P4-billion high-rise condominium project called West Tower to rise within the-five hectare One Serendra.
The project, a followup to the East Tower launched in 2008, will offer a total of 372 units with prices starting from P8.5 million. Turnover is scheduled on 2015.
Rex Mendoza, ALI senior vice president of corporate sales and marketing, said the developer has already noticed strong demand for the project. A preselling event will be held this Sunday for West Tower.
