MANILA, Philippines – Rockwell Land Corporation, the property arm of the Lopez group, is spending as much as P7 billion to develop hotel and leisure projects, as it remains upbeat about the growth of the tourism industry in the country.
At the company’s annual stockholders meeting, Rockwell Land president and CEO Nestor Padilla announced the company’s first resort development in Punta Engano in Mactan, Cebu.
The resort is 300-room resort with private villas and a mix of retail developments. Capital spending is estimated to reach between P3 billion to P4 billion. (READ: Rockwell Land earmarks P12-B for 2013 projects)
“The strong interest from our roster of investors and partners to roll out new ventures outside Metro Manila is evidence of not only the strength of Rockwell’s hotel and leisure business but also reflects our collective vision to develop prime tourist locations like Mactan Island as the country’s experiences a tourism renaissance,” Padilla said.
Construction is slated by the third quarter of 2017 and is expected to be completed by 2021.
Hotel in Makati
At the same time, Rockwell Land is spending another P3 billion to build the 280-room Aruga Hotel in Makati.
Aruga Hotel, which will be build on top of the expansion phase of Rockwell Power Plant mall, is the company’s first urban-themed hotel slated for completion by 2019.
At present, Rockwell Land is managing the Aruga and Edades serviced apartments.
On the office development business, Rockwell Land plans to add 54,000 square meters of leasable space by end-2017 from the current 100,000 sqm of leasable space.
The new office spaces will come from the two office projects that the company is building in Santolan, San Juan City, and Sheridan Street in Mandaluyong.
These projects are expected to boost the company’s recurring income over the next few years.
Rockwell Land is also expanding its residential portfolio with the launch of tis first residential township development in Lipa, Batangas.
Phase one of this project involves offering 300 to 400 housing units to the middle income market.
Two other residential projects are set to he launched this month.
For this year, Rockwell Land targets double digit growth for its net income and revenues.
It will also spend as much as P12 billion in capital expenditures for 2016, from P7.4 billion actual spending in 2015. – Rappler.com
Editor’s note: An earlier version of this story referred to the planned Rockwell resort in Cebu as “Punta Engano.” This has been corrected.
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