MANILA, Philippines – Two of the country’s biggest business groups have extended their partnership from aviation to real estate.
The real estate units of Ayala Corp. and Aboitiz Ventures are set to formalize a joint venture to pursue real estate projects in Cebu.
In a disclosure to the PSE on Wednesday, April 24, Ayala Land said that its 50/50 venture with AboitizLand is in line with its strategy of mounting more projects in urban areas across the country.
“Through this joint venture, the company expects to generate synergies by combining the experience of AboitizLand in developing diverse real estate products in Cebu, with Ayala Land’s expertise in building a full range of real estate formats including large scale integrated mixed-use communities,” the property firm said.
The Cebu joint venture marks the second partnership between the Ayala and Aboitiz groups. The two conglomerates also entered into a 50/50 joint venture for its bid for the Mactan-Cebu International Airport project. The Ayala-Aboitiz tandem were one 7 firms that submitted pre-qualifying documents for the P17.5 billion project.
AboitizLand is the developer and operator of the Mactan Economic Zone II in Lapu Lapu City. For the property, the company formed a partnership with the Philippine Economic Zone Authority, the Mactan Cebu Airport Authority and the Cebu Industrial Park Developers, Incorporated.
Ayala Land has earmarked P65.5 billion in capital expenditures for expanding its hotel, shopping mall, office, and tourism businesses. – Rappler.com