STA. Lucia Land, Inc. (SLI) continues to plan its expansion in Batangas and Rizal, where the company already has a “strong presence and high growth potential.”
On Friday, SLI’s board of directors gave the go signal for the acquisition of land parcels in Batangas spanning a total of 349,594 square meters (sq.m.) and 118,274 sq.m. in Rizal.
“The planned land acquisitions in Batangas and Rizal are [the] expansion of our Catalina Project [in] Batangas, Summit Point [in] Batangas, and a new project in Rizal,” SLI Chief Compliance Officer and Corporate Communication Officer Jeremiah T. Pampolina said in an e-mailed response to questions on Monday.
The property developer said the acquisitions will be partially funded by its follow-on offering (FOO) or through the issuance of debt.
SLI filed with regulators in July for a P9.87-billion FOO, where it will offer 2.5 billion common shares for P2.38 to P3.29 each and an overallotment option of up to 500 million common shares. The company said it will use net proceeds to partially fund capital expenditures for new and ongoing projects, land acquisitions, to refinance short-term debts, as well as for other corporate purposes.
The company’s board of directors also authorized the corporation to enter joint ventures to develop its projects in Rizal, which is around 13,515 sq.m., and Batangas-based projects spanning 30,518 sq.m.
Meanwhile, SLI said it will enter a joint venture with Sta, Lucia Realty & Development, Inc. to develop a 595,232.70 sqm. development in Rizal.
SLI believes the real estate industry is doing better compared with last year as the company’s growth prospects are “consistently rising especially in the provinces.”
“SLI likes to focus on regions with relatively high local GDP (gross domestic product) growth like Batangas and Rizal,” Mr. Pampolina said.
The company also has residential communities in Cavite, Laguna, Bulacan, Pampanga, Nueva Ecija, Pangasinan, Palawan, Cebu, Iloilo, Bacolod, and Davao.
“As more Filipinos value space for safety, mental well-being, and work-from-home arrangements, the provincial fringe has become an attractive investment for our customers,” Mr. Pampolina said.
Shares of SLI on Tuesday closed lower by 4.23% or 13 centavos to end at P2.94 each. — Keren Concepcion G. Valmonte