Robinsons Land Corp. (RLC) plans to spend between P100 to P125 billion over the next five years to support its plan increase its net income to P25 billion by 2030.
RLC president and chief executive Mybelle Aragon-Gobio said in an interview at the sidelines of the company’s annual stockholders’ meeting it will add target to have 69 malls from existing 55 malls as of end 2024.
This will double the group’s mall gross leasable area to 2.486 million square meter (sqm.) from 1.668 million sqm.
RLC said that for office sector, it will also double its leasable area to 1.213 million sqm. from 793,000 sqm. as it plans to build office buildings targeting Fortune 500 companies while the logistics business will hike its leasable space to 636,000 sqm. from 295,000 sqm. to target large multi-national companies and third-party logistics firms
It said that for the hotels and resort business, RLC will increase its hotels keys by 25 percent to 5,342 from 4,243. Most of these new hotels will be under its Grand Summit brand.
Meanwhile, Aragon-Gobio said RLC will open today the NUSTAR hotel in Mactan, Cebu which will be the country’s first ultra-luxury Filipino branded hotel.
The NUSTAR hotel is located within a 9-hectare world-class integrated resort and casino development in Cebu.
Aragon-Gobio said the company plans to unlock capital through asset monetization to fund its five-year capital spending plan.
Under this plan, RLC will continuously sell its assets to its real estate investment trust company RL Commercial REIT Inc.
RLC will then invest the proceeds from this transaction to build new malls, offices, warehouses and hotels.
The property firm will also elevate its offerings through premiumnization across the business units.
“Each unit will have their premiumized developments catering to the upper tiers of their specific markets,’ Aragon-Gobio said.
RLC’s attributable net income grew by 4 percent to P3.48 billion for the first quarter as revenue remained at P11.03 billion.
Core net income also rose by 4 percent to P3.48 billion. Revenue from its investment portfolio increased by 8 percent to P8.52 billion, led by the malls, offices, hotels, and logistics segments.