By Arra B. Francia
DOUBLEDRAGON Properties Corp. looks to generate a total of P10.52 billion in rental income and sales from its malls, office, warehouse, and hotel projects in 2019, as the property developer continues to benefit from its aggressive expansion program in the previous years.
DoubleDragon Chairman and Chief Executive Officer Edgar J. Sia II said he expects the company to post P4.42 billion in rental income from its community mall concept called CityMall, its office projects in Metro Manila, as well as its industrial space leasing business.
The company was on track to end 2018 with 50 CityMalls in second and third tier cities to take advantage of the economic growth in the provinces.
Its office projects are DD Meridian Park, an office tower complex located in the Pasay City, and the Jollibee Tower in Ortigas Center.
It also completed its first industrial facility called CentralHub Tarlac in the third quarter of 2018, with seven more to follow in the coming years.
DoubleDragon is also set to book P6.10 billion in sales from five Hotel101 projects. In the latter part of 2018, the company incorporated international subsidiaries to help sell the firm’s hotel projects to potential investors overseas. It will start selling Hotel101 units in Davao, Boracay, Bohol, and Palawan this year.
“2019 is also expected to be the year with the biggest jump in DoubleDragon’s recurring revenues contributed by the over 600,000 square meters of completed leasable space versus having zero leasable space in 2014,” Mr. Sia told BusinessWorld in an e-mailed reply to questions.
DoubleDragon is one year away from its goal of having a total of 1.2 million sq.m. in overall leasing spaces in 2020. By 2020, the company would have 100 CityMalls, 5,000 hotel rooms under the Hotel101 and JinJiang Inn Philippines brands, and eight industrial hubs across different sites in Luzon, Visayas, and Mindanao.
Mr. Sia said he is upbeat on the company’s prospects for this year.
“Our outlook for 2019 is very positive, as I personally believe that the most challenging stage of a start-up business venture is always on its first seven years, and gladly DoubleDragon in 2019 is turning 7 years old after our joint venture partnership with the Jollibee Group in July 2012,” Mr. Sia said.
Formerly called Injap Land Corp. which was fully owned by the Sia family’s holding firm Injap Investments, Inc., Jollibee Foods Corp. Chairman Tony Tan Caktiong entered DoubleDragon through Honeystar Holdings Corp.
Prior to their partnership in property development, Mr. Tan Caktiong, through Jollibee, also purchased Mr. Sia’s grilled chicken chain Mang Inasal.
DoubleDragon’s net income attributable to the parent stood at P966.02 million in the first nine months of 2018, 19% higher year-on-year, after gross revenues surged 16% to P4.72 billion in the same period.