By Arra B. Francia, Reporter
SOME property developers in the country reported mixed results for the first quarter of 2018, amid sustained demand for residential projects.
Rockwell Land Corp. grew its attributable profit by a fifth in the January to March period to P620 million, higher than the P516 million generated in the same period a year ago. This was supported by an 8.8% uptick in revenues to P3.33 billion.
The sale of condominium units accounted for 83% of the group’s revenues at P3.06 billion. The company attributed the higher sales to the completion of Edades Suites and The Vantage, which started revenue recognition in April and December 2017, respectively.
The Lopez-led firm’s commercial unit, meanwhile, delivered P431 million in revenues for the quarter, 26% higher year on year following the completion of Power Plant Mall expansion and additional leased areas from RBC Sheridan.
Meanwhile, revenues from hotel operations dropped by 36% to P68 million after the company discontinued operations of Aruga at The Grove in September last year.
Rockwell rolled out P3.8 billion in capital expenditures from the January to March period, a large chunk of which was spent for the development of The Proscenium, its luxury condominium project in Makati City.
For Shang Properties, Inc. (SPI), attributable profit increased by 21% to P575 million, as it booked higher sales from condominium units alongside higher revenues from rental, cinema, and hotel operations.
Revenues grew by 37% to P2.77 billion, versus the P2.02 billion posted in the same period a year ago. SPI attributed this to higher sales recognition from its projects The Rise Makati and Horizon Homes.
Hotel services also posted higher revenues for the period at P171.1 million on the back of higher occupancy rates.
SPI’s properties include The Shang Grand Tower Project in Makati, St. Francis Shangri-La Place Project and One Shangri-La Place Project in Mandaluyong, among others. It is also the developer of Shangri-La at the Fort’s hotel and residential components in Taguig, which started operations in March 2016.
During the quarter, SPI announced that it is partnering with Robinsons Land Corp. for the development of a P10-billion condominium tower in Bonifacio Global City in Taguig.
Meanwhile, listed boutique developer Arthaland Corp. generated a net loss of P2.2 million in the first quarter, against a P6.4-million profit in the same period last year. This came on the back of a 60% drop in revenues to P106.83 million, due to fewer available units for sale.
Arthaland’s projects include the Arya Residences Towers 1 and 2 in Taguig, the first condominium project in the country to receive LEED certification from the United States Green Building Council. The company will be completing Arthaland Century Pacific Tower, its flagship office project, by the second quarter of this year.
The company also has a 38-storey office project in Cebu called the Cebu Exchange, set to start construction in the second quarter of this year.
Araneta Properties, Inc. (API) also booked a net loss for the first quarter, dropping to P7.8 million versus a profit of P5.42 million in the same period in 2017. Revenues went down by more than half to P11.16 million.
“This performance is directly attributed to marketing strategies implemented in year 2014, specifically the holding on of some inventory for a much better price. This strategy will create a favorable momentum for the company’s operation activities while awaiting for the right timing on the implementation of sales forecast,” API said.
By Arra B. Francia, Reporter