Filtered By: Money
Money

Ayala Land creates new firm for REIT's listing


Ayala Land Inc. has created a new company that will lists its shares on the Philippine Stock Exchange under the Real Estate Investment Trust law, or REIT. AyalaLand Commercial REIT Inc. (ALCRI) will hold an initial public offering once the implementing rules of Republic Act 9856 or the Philippine REIT Law is out, said Ayala Land senior vice president and CFO Jaime Ysmael. Under the plan, ALCRI will focus on prime shopping center and office assets, Ysmael said. “ALCRI intends to hold these investment properties for long-term investment and shall carefully maintain their attractiveness and marketability with the objective of providing shareholders with a competitive rate of return through regular and stable cash distributions," Ysmael said. ALCRI will seek acquisition opportunities for additional high-quality assets that will further enhance and grow its portfolio, Ysmael said. Ayala Land owns several shopping centers and office buildings in various parts of the country, several prime properties in Makati, Taguig, Muntinlupa, and Cebu. As of end-2009, Ayala Land has one million square meters of gross leasable area for shopping centers and 347,000 square meters of gross leasable area for office development. Ysmael said that ALCRI will have an authorized capital of P1.2 billion with P300 million already subscribed and paid up. Ayala Land earlier said that it plans to raise $300 million from a REIT’s listing. It has tapped UBS and JP Morgan as joint underwriters for offering. The REIT law provides tax and other incentives to real estate firms that will list their revenue-generating assets like shopping malls, hotels, office buildings, tollways, and hospitals on the Philippine Stock Exchange. —JE/VS, GMANews.TV

LOADING CONTENT