Eton sees steady demand for condo, office, commercial projects

As published in mb.com.ph on May 29, 2015

  Eton Properties Philippines, Inc., the real estate arm of the Lucio Tan Group, sees opportunities for growth this year amid expansion of residential condominium, commercial and office projects.   “We believe that the real estate market will remain strong in the segments where Eton operates, and that there is room for us to pursue its expansion plans beginning 2015,” Josefino Lucas, Deputy Chief Operating Officer of Eton Properties Philippines, Inc., said during its Annual Stockholders’ Meeting at Century Park Hotel on Friday.   Lucas said Eton is expanding its residential condominium projects, office tower and boutique mall. Construction of projects also went on full swing such as 68 Roces in Quezon City, Eton Tower Makati, West Wing Villas at North Belton Communities in Quezon City, West Wing Residences,  TierraBela and Village Walk at Eton City, also went on full swing.   Its project plans this year include high rise residential condominium project, three office towers, and a boutique mall.   The residential condominium is part of the company’s one hectare mixed-use development in Makati City dubbed Eton WestEnd Square. The high rise building, Eton’s fifth condominium project in Makati City, is strategically-located along Malugay Street near Chino Roces Avenue and steps away from Ayala Avenue and Sen. Gil Puyat Avenue.   Within the mixed-use development is a planned boutique mall and a Business Process Outsourcing (BPO) office building, which will cater to professionals in the outsourcing business.   Eton Centris, the company’s 12-hectare mixed-use development at the corner of EDSA and Quezon Avenue, is already home to Centris Station, a two-level commercial center anchored by a major hypermart; Centris Walk, a strip mall featuring an international mix  of restaurants and lifestyle spots; Cyberpod Centris One, Cyberpod Centris Two and  Cyberpod Centris Three, the first three BPO office buildings in the development; and Elements, a 1,000-square meter events venue ideal for weddings, parties, seminars and other activities.   Lucas said the company is looking at putting up its fifth BPO office building in Eton Centris, to be called Cyberpod Centris Five, and its sixth BPO office building in Ortigas Center.   The company will likewise start the expansion of Centris Walk, an upscale lifestyle, dining and entertainment destination in Eton Centris.   “We are confident that our rental operations will remain strong in 2015. We are experiencing high occupancy rates in our office buildings given the strong demand from the outsourcing industry and we see this trend continuing,” adds Lucas.   With the real estate industry remaining robust, Lucas expressed confidence that interest in Eton’s projects will be sustained, providing the company with avenues of growth this year.   Eton’s net income rose 14 percent to P119.86 million in 2014 due to improved margins and profitability. Eton’s gross revenues fell 38 percent to P2.28 billion in 2014 as it focused primarily on the delivery of its projects and the completion of existing developments.   Real estate sales accounted for revenues of P1.54 billion, which dropped 52 percent from the previous year as a direct result of the temporary stop in sales activities.Sales revenues, which were backed up by rental income, surged by 65 percent to P740 million, on the back of the strong take-up of the company’s BPO office buildings,   Following the opening of its third BPO building, Cyberpod Centris Three, the company’s  gross leasable area expanded by 69 percent in 2014.   Total assets rose 18 percent to P23.69 billion upon the construction of ongoing projects. The company completed 8 Adriatico in 2014, a prime residential development in Manila.