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Empire East allots P12B on new property development


Empire East Land Holdings Inc. plans to spend P10 billion to P12 billion to build new condominium in the next five years so the company may further grow its profits, an official of the Andrew Tan-led property developer, said Tuesday. This year the company plans to start with five new projects catering to its middle-income core market, Anthony Yu, Empire East president, said at the sidelines of the company’s shareholders meeting on Tuesday. Two properties would be developed in Metro Manila and one in Sta. Rosa, Laguna, he said, but declined to give more details about the two other developments. Yu said the company is trying to ride on improving consumer sentiment, especially after the May 10 polls' success which gave the country a sense of euphoria. Empire East booked P7.3 billion in reservation sales last year, from P4.7 billion in 2008, he said, referring to future revenue from units sold but not yet fully paid for other than the reservation fees and the running monthly dues. “We expect to continue improving because so far, we are seeing strong demand. Last year, we were very optimistic. We did not see any slowdown last year, despite the expectations of most analysts," Yu told reporters. “The figures that we’re seeing now indicate that we’ll post higher sales this year," he said. “The reason there’s optimism is the external conditions are very good, and the fact that there was a smooth election and, it seems, there will be a smooth transition." While Empire East – formerly a division of Megaworld Corp. until 1994 – is focused on middle-income housing, parent Megaworld builds high-end residential and office buildings. The company posted a net income of P23.2 million in the first quarter, up 3.86-percent from P22.4 million a year earlier. Company profits will grow “exponentially" once Empire East recognizes revenues from existing and future projects, Yu said. —VS, GMANews.TV

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