By Denise A. Valdez, Reporter
TORRE Lorenzo Development Corp. (TLDC) is investing up to P7 billion this year to boost its premium residential-business projects and expand further into leisure development, its finance chief said.
“Our objective is to launch a few more projects this year. We’re looking at premium projects with an inventory value of P6.9-7 billion,” TLDC Chief Finance Officer Emmanuel A. Rapadas said in a briefing in Makati City yesterday.
The property developer has three new residential towers scheduled to launch this year, on top of expansion plans in leisure properties in Batangas, Pampanga, Manila and Davao.
Mr. Rapadas identified three projects that the company plans to introduce by year-end: a P900-million premium university residence along P. Noval St., Manila City; a P1.5-billion mixed-use development in Davao; and a P3.7-billion mixed-use development in Katipunan, Quezon City.
The Manila property is expected to break ground by the third quarter and generate sales of up to P1.6 billion. The Davao project will similarly offer student residences, with more than 600 units to be offered and raise about P2.6 billion in sales.
The Katipunan project is planned to be TLDC’s biggest mixed-use development to date, totaling 2,200 square meters with two towers and a podium. It is expected to generate about P6.9 billion in total revenues.
Aside from the three residential projects, TLDC is also expanding its leisure portfolio this year, through projects such as Dusit Princess Hotel Lipa in Batangas; Tierra Lorenzo Hotel San Fernando in Pampanga; Lyf by Ascott in Malate; and dusitD2 and Dusit Thani Lubi Plantation Resort in Davao.
The company is known for building premium university residences for the past 20 years, but it opened last year its first hotel in Davao, the dusitD2 Hotel, and private island resort Dusit Thani Lubi Plantation Resort.
TLDC President and Chief Executive Officer Tomas P. Lorenzo said the company wants to invest in the leisure segment further given the tourism potential of the Philippines.
“It was an exciting year because people know us for our university residences, but we finally crossed over to doing leisure projects around the country. We’re excited because tourism was really a market that we saw early,” he said.
Even with the coronavirus outbreak, Mr. Rapadas said its effect on TLDC’s hotel business is “very negligible,” as the bulk of its guests are domestic travelers. “We have a very strong risk management system,” he added.
Over the next two years, Mr. Rapadas said TLDC wants its hotel business to contribute 20% of total revenues, and in the long-run, grow this further to 30%. “Leisure is the emerging economic leg of the Philippines… Leisure tourism is the next big thing,” he said.
TLDC booked total revenues of P2.2 billion in 2019, up 21% year-on-year. Its compound annual growth rate from 2015 to 2019 is 47%.