MANILA, Philippines – Ayala Land, Inc. has formalized a joint venture with the Metro Gaisano group for the development of a 12-hectare property in Mactan, Cebu.
In a disclosure to the PSE on Monday, April 29, Ayala Land said that it has agreed to a partnership with Vicsal Development Corp.’s unit Taft Property Venture Development Corp.
Vicsal, which is owned by the Gaisano family, operates the Metro department store chain nationwide.
“The property to be developed is close to many of Mactan’s tourist-oriented establishments. It is envisioned to become an integrated mixed-use development, possibly with residential, retail and hotel components. The proposed development will offer a value proposition which is distinct for that of the other projects of Ayala Land in Cebu City,” the disclosure read.
Ayala Land has agreed to a 55% stake in the Cebu venture.
The company earlier signed a deal with AboitizLand for projects in the city. Ayala Land’s interests in Cebu include the Cebu City Marriott and the 46-hectare Amara development in Liloan.
Taft Property, on the other hand, developed Nichols Park and Hacienda Salinas in Cebu City. Vicsal’s other units include Vicsal Investment, Inc., Vicsal Securities and Stock Brokerage, Filipino Fund, WealthBank, Prime Asia and Grand Holidays and the Metro Gaisano department store chain.
“Through this joint venture the Vicsal group, Ayala Land hopes to further strengthen and expand its presence in the robust Cebu real estate market,” the disclosure read.
Ayala Land posted a 27% increase in net income to P9 billion in 2012. It launched 23,487 residential units during the year. – Rappler.com