By Arra B. Francia, Reporter
ANCHOR LAND Holdings, Inc. is bent on growing its recurring revenue base as it targets to have the segment contribute to a fifth of its revenues by 2021, a top official said.
“We are trying to have at least 20% contribution coming from recurring (revenues) by 2021. (This will be achieved) from our existing commercial development and office development and bed spacing, hotels contribution, so we are targeting to have it to reach 20%,” Anchor Land Chief Executive Officer Steve Li told reporters after the company’s annual shareholders’ meeting last week.
Mr. Li said residential projects currently contribute 90% of its total revenues, while commercial projects account for the remaining 10%.
The upscale property developer has various projects in the pipeline to achieve its targets.
For the hotel and resorts segment, Anchor Land is undertaking the redevelopment of the Admiral Hotel along Roxas Boulevard in Pasay City. The hotel is envisioned to meet the shortage in luxury accommodations in both the Entertainment City and Pasay areas, and will be the company’s flagship project in the hotel and resorts category.
The Baylife Venue — Anchor Land’s first tourism and leisure project in the Bay Area, is being positioned to become the largest Chinese seafood restaurant in terms of seating capacity and product offering in the country.
The company is also constructing the two-tower Anchor Land Corporate Center at the Bay City. The LEED-certified building is set to cater to the growing number of business process outsourcing companies in the Bay Area.
Anchor Land is likewise joining the roster of firms that are developing bed space leasing facilities through Cosmo Suites in Pasay City. The project will house around 800 rooms, which are sized at about 21 square meters each. Cosmo Suites is expected to be completed after three years.
“The project is designed to provide for the needs of transients and call center workers from the Entertainment City enclave and nearby areas along Manila Bay. This co-living facility offers a new lifestyle by upgrading the standard living of its residents,” Anchor Land President Digna Elizabeth Ventura said during the stockholders’ meeting.
Outside the Bay Area where Anchor Land’s market is mostly Chinese buyers, the company is also looking to construct a Boracay Hotel and Resort development. Mr. Li said Anchor Land has a 2.6-hectare property in the area, with planning already underway.
Anchor Land will further be developing a hotel and resort in Coron, Palawan. The hotel and resort complex will cater to the demand for luxury accommodation in the popular tourist destination.
Mr. Li said the company will continue to focus on the luxury market moving forward, given the strong demand for properties in the segment.
“There’s a huge demand for the luxury market but you just need to come up with the right product for them… (Investors) are getting more and more sophisticated, they really try to look for value for investment especially the leasing market,” Mr. Li said.
Anchor Land’s net income attributable to the parent dipped 25% to P103 million in the first quarter of 2018, amid a 6% increase in revenues to P1.24 billion.