By Arra B. Francia, Reporter
AYALA LAND, Inc. (ALI) has so far spent P10 billion for its 11-hectare mixed-use estate in Balintawak, Quezon City, five years before the property company targets to complete the first phase of its development.
Formerly the site of a textile mill, ALI has committed to spend P25 billion for the development of Cloverleaf, with P15 billion allocated for the first phase and the remaining P10 billion for phase 2.
“(Phase 1) includes investment in the land, land development for the entire project, plus investment in Ayala Malls, and first few residential projects, including Avida,” Cloverleaf Estate Head Wilfredo S. Teodoro told BusinessWorld at the sidelines of the opening of Ayala Malls Cloverleaf last week.
The Cloverleaf mall was the first establishment inside the estate to be completed and opened to the public, as Mr. Teodoro said this would attract more people into the development.
ALI has tapped its residential condominium brand Avida to build three towers, equivalent to around 2,000 residential units. The company’s luxury residential brand Alveo will also be launching a total of 600 condominium units in the area.
The company will also be constructing a 25,000-square meter hospital under its Qualimed brand inside the estate, slated to have a capacity of 250 beds.
ALI looks to finish the first phase, which covers around five to six hectares, by 2022.
While the listed firm has also allotted an area for office spaces in the first phase, Mr. Teodoro said this would most likely be transferred to the second phase.
“Phase 1 we’ve allocated space for an office, but most likely the office development will be in phase 2, but we’re positioning that area to be different from phase 1,” Mr. Teodoro said.
The executive noted the office development will be connected to the Light Rail Transit 1 (LRT-1) station to facilitate travel. The estate, located along EDSA and A. Bonifacio, can be accessed through LRT-1 Balintawak station. Cloverleaf will also be a 20-minute drive from Makati once the Skyway Stage 3 is completed by 2020.
“Phase 2 is more transit-oriented because of the LRT station so the building that we will develop there will most likely have a direct connection to LRT Balintawak and then we will integrate it with the other buildings within the estate,” he added.
Asked when the company plans to launch the second phase, Mr. Teodoro said this would depend on the needs of the market.
“Next phase depends on the market, if we feel that if there’s a demand for new products, like for example offices, and probably our other residential brands. We may start developing the second phase sooner,” Mr. Teodoro said.
ALI’s net income attributable to the parent grew 18% to P5.95 billion in the second quarter of 2017, boosted by the 18% increase in revenues to P32.8 billion during the period. This allowed the company to book an 18% increase in attributable earnings to P11.5 billion in the first half of 2017.
