RESERVATION sales of Cebu Landmasters, Inc. (CLI) surged in the first nine months of 2018, driven by interest in both its economic housing and high-end projects.
In a statement issued Wednesday, the Cebu-based property developer said reservation sales jumped 69% to P6.17 billion in the nine months ending September. This represents 88% of the company’s P7-billion goal for full year 2018.
“We expect to see continued strong sales performance in the coming years as demand for housing from these segments of the market remains firm,” CLI President and Chief Executive Officer Jose R. Soberano III said in a statement.
The listed firm attributed the sales to its economic housing brand Casa Mira, which generated P1.42 billion from the sale of 746 units. The Casa Mira brand offers townhouses with two-bedroom covering 36-43 square meters (sq.m.) to three-bedroom sized 58 sq.m.
Its high-end mixed use project in Cebu City called the Baseline Center contributed P1.18 billion after selling 341 units. Its condominium complex in Bacolod City called MesaVirre Garden Residences meanwhile generated P929.93 million after selling 427 units.
Projects located in Cebu, Dumaguete, Cagayan de Oro, and Davao also added to the company’s strong performance during the nine-month period.
The company sold a total of around 2,500 units priced at an average of P2.5 million during the period.
With this, CLI said it will be able to deliver a double-digit financial growth for the year. The company is targeting to book P1.7 billion in profits for this year, higher than its 2017 net income of P1.29 billion. Revenues are also expected to hit P5.3 billion this year.
The company is banking on additional revenues from upcoming projects in Bohol and Iloilo to support its growth target.
“The strategies we have adopted in the housing market allows us to meet full-year targets,” Mr. Soberano said.
CLI also expects more Filipinos to buy housing units moving forward, citing a study made by the Bangko Sentral ng Pilipinas for the third quarter saying that 9.2% of Filipinos “intend to buy a house in the next 12 months.”
The company recently announced that it has fully used up the P2.15 billion raised from its initial public offering last year, which allowed it to further beef up its land bank in the Visayas and Mindanao.
With 420,573 sq.m. of land under its network, CLI now has 52 developments in various stages of construction across Cebu, Mandaue, Cagayan de Oro, Davao, Bacolod, Dumaguete, Iloilo, and Bohol.
Shares in CLI went down 1.14% or five centavos to close at P4.35 each at the stock exchange on Wednesday. — Arra B. Francia