If you remember that the CDO GUIDE made a blog post that there is a “Rumor Ayala Mall Will Rise @ Cagayan de Oro“. It’s now happening to our City of Golden Friendship.
Ayala Land Inc. (ALI) is set to develop a shopping mall in Cagayan de Oro in the fourth quarter as part of the property firm’s expansion program this year.
In a disclosure to the Philippine Stock Exchange (PSE), Jaime Ysmael, ALI chief finance officer, said the company signed a joint venture agreement with Anflo Management and Investment Corp. and Mindanao Motors Corp. for the development of a shopping mall in a 3.2-hectare property along Claro Recto Avenue.
ALI said the initial investment would reach P2.5 billion for the construction of the shopping mall, which would have 40,000 of gross leasable area.
The company aims to construct the shopping mall towards the end of the year and will be completed by 2012.
“The project is envisioned to be an integrated mix-use development that will change Cagayan de Oro’s urban landscape,” Ysmael said. The mall will offer dining, entertainment, and retail concepts that will serve the communities, tourists, and transients.
The shopping center will precede the construction of a business process outsourcing (BPO) oriented office building and boutique hotel.
This is ALI’s second partnership with the Anflogroup in Mindanao. In 2007, the two developed Abreeza Mall in Davao City, which is scheduled to open next year.
Last year, ALI had said revenues from malls rose 4 percent to P4.44 billion with the expansion of its gross leasable area despite the 5-percent drop in the average lease.
The expansion of BPO office space and higher rentals helped the company’s corporate business revenues nearly double to P1.99 billion. Other business segments like strategic landbank management and Visayas-Mindanao registered double-digit revenue growth, but support businesses—construction, property management and hotel—dropped by 38 percent to P4.96 billion because of lower contribution from external construction projects.
Its net income dropped by 16 percent to P4.04 billion last year from P4.81 billion the previous year.
This decline can be traced to the 10-percent drop to P30.46 billion in consolidated revenues. ALI said the 8-percent drop in sales from real estate and hotel operations and the absence of capital gains from large transactions caused the contraction.
Photo shows (from left): Ayala Land Inc. president Antonino T. Aquino, Anflo Management & Investment Corp. chairman Antonio O. Floirendo Sr. and Ayala Land Inc. senior vice president Marivic E. Añonuevo as they sign the joint venture agreement for the development of a 3.2-hectare complex in Cagayan de Oro City.
Thanks to Maricel E. Burgonio
Ayala Land continues to expand their real estate business to provide good leisure places and high quality properties not only in the Mega Manila but also other provinces nationwide.
Kudos from one brainiac to another. 🙂
Great info! I recently came across your blog and have been reading along. I thought I would leave my first comment. I don’t know what to say except that I have enjoyed reading. Nice blog. I will keep visiting this blog very often.
ALI and Anflocor are both good companies and I wish them to consider using LED Lightings to save more energy.