D.M. Wenceslao & Associates, Inc. (DMWAI) looks to generate P9 billion from its second residential project in Aseana City called MidPark Towers, banking on the demand for more housing units in the Bay Area.
The listed property and construction firm unveiled last week the four-tower project with 15 storeys each, offering some 670 units toward the upscale market. Sizes range from 35 square meters (sq.m.) to 110 sq.m. for studio to three-bedroom units, translating to around 45,000 sq.m. in saleable area.
The project is being managed by DMWAI’s subsidiary, Aseana Residential Holdings Corp.
DMWAI Chief Executive Officer Delfin Angelo C. Wenceslao said they are selling units in the first two towers at P220,000 to P250,000 per sq.m., driven by its prime location.
“Because of the proximity to the Entertainment City and retail destinations like the Ayala (Mall), our own developments, the accessibility via public transport…and our proximity to the Manila Bay, that’s what’s driving the demand,” Mr. Wenceslao told reporters on the sidelines of the project’s launch on Nov. 20.
“We see (strong demand) not only in residential but also our office projects and retail developments. And we don’t think it’s going to stop anytime soon.”
The company noted that it has already sold P1.2 billion worth of units, or about 90% of the first building, during the project’s official launch.
Mr. Wenceslao said majority of the buyers are people with families and BPO and casino employees working in the area. He added that most of foreign buyers are mainland Chinese, but they have yet to reach the 40% cap for foreigners.
MidPark Towers is the company’s second residential project in Aseana City, following the launch of Pixel Residences in 2016. At an average selling price of P150,000 per sq.m., the company was able to sell out the project within seven months.
“We’re very happy with the attention and response from our buyers. That’s why we were able to ramp up pretty fast,” Mr. Wenceslao said.
Compared to Pixel Residences, MidPark Towers has more two-bedroom and three-bedroom units, based on the demands of the market.
DMWAI’s attributable profit dropped by 31% to P524.73 million in the third quarter of 2018, after a 41% decline in revenues to P583 million. This brought the company’s nine-month attributable profit to P1.49 billion, 4% higher year on year even as revenues fell by a third to P1.78 billion.
Asked for his outlook on the company’s performance for the fourth quarter, Mr. Wenceslao said DMWAI is on track to hit double-digit growth.
“We’re well on track. Pretty much we’re done for the year, almost 80% of our income is recurring. Next year we’re going back to our old strategy of selling land. We’ll probably sell one to two lots next year, in addition to our land leases, office leases,” he explained. — Arra B. Francia