Ayala, Gatchalian seal deal on Cavite property project
MANILA, Philippines - After winning the bid for the government's first tollroad project under the Public Private Partnership (PPP) scheme, the Ayala group is pursuing several property development projects near it.
On Friday, December 3, Gatchalian-led Philippine Estates Corp. (PHES) told the stock exchange that it has signed a memorandum of agreement with Amaia Land Corp, the low-cost housing unit of Ayala Land, the country's biggest property developer.
PHES said the deal is for the development of its Cavite property into a residential or subdivision project. PHES is currently developing a 4.5 hectare residential subdivision Pacific Grand Residences in Cavite.
The property projects will likely benefit from the two-kilometer Daang Hari-SLEx toll road that the government has awarded to Ayala Land in December 2011. The road improves access to various parts of Cavite since it links to the South Luzon Expressway (SLEx), a major artery that connects Manila to areas in the south. Work on the Daang Hari-SLEx tollway has yet to start due to unresolved issues.
Ayala officials have previously acknowledged they vied for the PPP road project to complement the property projects they are purusing in the area. It has several ongoing development works near it under the brand name Avida.
Ayala Land, known for its high-end property projects, has been expanding its portfolio. Low-cost is a new market it is currently trying to tap. - Rappler.com