MANILA, Philippines – A property boom continues in Iloilo City, the financial capital of Western Visayas, with big property developers like DoubleDragon Properties Corporation expanding their landbank in the city.
DoubleDragon, a venture between a firm of Edgar "Injap" Sia II and Tony Tan Caktiong's company, told the Philippine Stock Exchange (PSE) on Wednesday, February 14, that it bought a 3.9-hectare property in Iloilo.
The property will serve as the 2nd site for its planned chain of industrial hubs across the country.
With the rising cost of traffic and congestion in Metro Manila, almost every property developer is looking at alternative cities to expand their landbank.
Big firms, like DoubleDragon, are not just expanding in Cebu and Davao. These firms are also making their presence felt in Iloilo – a growing preference for business process outsourcing (BPO) locators.
Dubbed as CentralHub, DoubleDragon's planned industrial hub in Iloilo will have a capacity of 22,000 square meters (sqm) of leasable space once fully developed.
"We believe the industrial leasing segment presents significant growth opportunities for DoubleDragon as the current market supply is very traditional and fragmented," DoubleDragon chairman Sia said in the disclosure.
As it began venturing into industrial hubs and hotels, DoubleDragon in 2017 raised its target leasable space to 1.2 million sqm by 2020 from 1 million sqm.
This expansion of its landbank would help DoubleDragon achieve its 2020 net income target of P5.5 billion.
Aside from the planned industrial hub, DoubleDragon has other developments in Iloilo, including the Injap Tower Hotel, First Homes Iloilo, The Uptown Place, and People's Condominium.
Recent relocations by corporate headquarters have been driving new demand, and there is still plenty of open space to build on around the city. Some of them are SPI Global, Star Tek, Technocall, Savant Technologies, Teletech, and Transcon.
Andrew Tan-led developer Megaworld Corporation is also set to open its first mall outside Luzon, located in Iloilo City, in April this year.
Megaworld had announced the upcoming opening of the P2.2-billion Festive Walk Mall at the Iloilo Business Park.
The 72-hectare Iloilo Business Park also houses two hotels owned by the Andrew Tan group – the Richmonde Hotel Iloilo and the soon-to-open Courtyard by Marriott Hotel – as well as office towers, residential towers, and a commercial district.
Back in 2016, government and industry leaders elevated Iloilo City's status to a Center of Excellence for information technology-business process management (IT-BPM) operations. It joined the ranks of Metro Manila, Metro Cebu, Metro Clark, and Bacolod City as premier IT-BPM hosts and high-density locations. – Rappler.com