PROPERTY developer Cebu Landmasters Inc. (CLI) has earmarked P12 billion in capital expenditures (capex) for 2021 to fund the company’s landbank activities and ongoing developments.
The homegrown firm, during its annual stockholders’ meeting on Wednesday, April 7, 2021, said it targets to grow 15 to 20 percent this year as demand for housing in the Visayas and Mindanao area remains on the upside.
CLI said it has a total of 25 projects in the pipeline; 15 of these are P19 billion residential developments that will be launched this year, supplying over 7,500 units to the sustainable housing market.
The capex will also fund the ongoing development of Latitude Corporate Center, which is expected to increase total gross leasable area to more than 28,000 square meters, almost double from 2020.
“There is a real estate boom and a global trend towards safer and healthier homes. With CLI’s agility, we’re able to take advantage of this new kind of demand,” said Jose Soberano III, chairman and chief executive officer of CLI.
CLI reported P8.30 billion in consolidated revenues in 2020, closely matching 2019’s P8.50 billion. It also logged P1.85 billion in parent net income after tax, down eight percent versus 2019.
CLI’s reservation sales in 2020 grew 12 percent to P14.25 billion.
The company’s economic housing brand Casa Mira accounted for 69 percent of 2020 sales. Strong sales take-up also resulted in unrealized revenue of P20.4 billion.
Franco Soberano, executive vice president and chief operating officer of CLI, said the Visayas and Mindanao corridors present a huge opportunity for growth and expansion for CLI.
“VisMin is a market that has strong demand (for real estate) products but has low supply. It’s a developing region where there is no congestion and still has good value for money proposition,” said Soberano.
CLI ended 2020 with an additional 4,300 homes added to its inventory spread over nine projects worth P11.4 billion.
Newly launched projects were 71 percent sold by the end of 2020. (KOC)