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Megaworld to Invest P3.4 Billion in Provincially-Based Townships

Strategic Insights

— 2 min read

The Philippine property developer will utilize the proceeds from its recent REIT share sales to drive growth in its provincial townships, investing heavily in income-generating properties such as office towers, lifestyle malls, hotels, and more. In Bacolod City, Megaworld will break ground on a 34-hectare lifestyle mall, while The Mactan Newtown in Lapu-Lapu and Paragua Coastown in Palawan will feature additional properties, including a convention center and museum. Megaworld's expansion plans are part of its strategy to capitalize on the tourism potential of these areas, generating more jobs and boosting local economies.

Key Takeaways:

  • Megaworld will spend P3.4 billion to expand its townships in Bacolod City, Lapu-Lapu, and Palawan, utilizing the proceeds from its recent REIT share sales.
  • The company will invest in income-generating properties such as office towers, lifestyle malls, hotels, and more within its three provincial townships.
  • In Bacolod City, Megaworld will start building a lifestyle mall across the city government center.
  • The 30-hectare The Mactan Newtown in Lapu-Lapu will feature the standalone Mactan Expo convention center and Mactan World Museum.
  • Megaworld is developing various properties within the 462-ha Paragua Coastown, including two hotels, two residential condominiums, a residential village, commercial districts, and nature parks.
  • Megaworld president and CEO Lourdes Gutierrez-Alfonso emphasized the huge potential for tourism in its provincial townships, which will drive business into these localities.
  • The company sold P2.24 billion worth of its shares in MREIT Inc. last month and P1.17 billion worth of MREIT shares in July, netting a record P12.09 billion in the first six months of the year.
  • Real estate sales totaled P27.12 billion in the first semester, up by 9 percent.

Statistics:

  • P3.4 billion - the total investment to be made by Megaworld in its expansion plans.
  • P2.24 billion - the worth of shares sold by Megawold in MREIT Inc. last month.
  • P1.17 billion - the worth of shares sold by Megawold in MREIT Inc. in July.
  • P12.09 billion - the net earnings by Megaworld in the first six months of the year.
  • P27.12 billion - the real estate sales in the first semester, up by 9 percent.
  • 23% - the surge in Megaworld's net earnings in the first six months of the year.
  • 9% - the increase in real estate sales in the first semester.

Sources:

  • Megaworld Corp. regulatory filing on Monday (no date mentioned)
  • Megaworld statement by president and CEO Lourdes Gutierrez-Alfonso
  • MREIT Inc. earlier disclosure regarding the allocation of proceeds from Megaworld's REIT share sales

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