Philippines' Ayala to spend $1.4 billion on property

This general view shows the Makati financial district of Manila in January 2011. Philippine real estate giant Ayala Land Inc. said Thursday it will spend about 60 billion pesos ($1.4 billion) to revitalise the country's main business district of Makati

Philippine real estate giant Ayala Land Inc. said Thursday it will spend about 60 billion pesos ($1.4 billion) to revitalise the country's main business district of Makati.

The cash injection by Ayala Land and its subsidiaries over the next five years is intended to take advantage of improving economic conditions in the Philippines, the company president said.

"The economy is on a positive track.... That's why we're aggressive in our investment," Ayala Land president Antonino Aquino was quoted as saying by Dow Jones Newswires.

A statement filed with the Philippine Stock Exchange said the money would go on a variety of projects including residential, retail and office developments.

Among the planned projects is a 22-hectare (54-acre) "integrated township" and entertainment district on an abandoned racetrack, Ayala Land said.

Ayala Land, the flagship of the diversified Ayala Corp. conglomerate, posted a 31 percent growth in its net profit last year, hitting 7.14 billion pesos.

The company operates high-end residences, office buildings, hotels, apartments, resorts and shopping malls across the country.

Ayala Land has been dominant in the Makati suburb of the Philippine capital Manila, which houses the headquarters of many of the country's top banks and corporations as well as its biggest skyscrapers.

The Philippine government is targeting five to six percent economic growth this year after posting 3.7 percent growth in 2011.