Local real estate developer P.A. Alvarez Properties and Development Corp. signed Wednesday a joint venture agreement with Hankyu Realty Co. Ltd. of Japan to develop an 11-hectare residential project as a part of a 37-hectare township in Dasmariñas City, Cavite.
P.A. Properties chairman Romarico Alvarez said a vehicle company would be formed and called P.A. Properties Hankyu One, with a 60-40 ownership arrangement in favor of the former, to build the first phase of the project covering 11 hectares in Barangay San Agustin, Dasmariñas City.
The first phase of the project is estimated to cost 2.7 billion yen or P1.2 billion.
“This signing is the highlight of nearly two years of hard work and relationship-building between Hankyu Realty and P.A. Properties. Their interest to partner with us as they expand in the Southeast Asian region is not only about finding a strategic business partner, but having a partner company that espouses the same values as they have—transparency, trust, reputation, and care for our workforce,” Alvarez said.
Hankyu president and chief executive Ryuchi Morotomi said the Osaka-based developer was deeply impressed by P.A. Properties’ commitment to help address the 5.7 million housing unit backlog in the Philippines.
“We hope to create new value in the real estate in the Philippines and provide good housing for Filipino communities with our long term relation with P.A. Properties,” he said.
The first phase of the project will entail the construction of 868 units with 403 single detached units and 465 town houses. Construction will start in October 2017 and will take five years to complete.
“Under the policy of Hankyu Hanshin holdings, Hankyu Realty will expand our house development overseas. So through this project, we will get the knowledge and know-how of the house development sector in the Philippines, and we want to continue the house development in this country,” said Morotomi.
Each unit will have an average price of P2.7 million to P3.1 million for detached houses and P1.7 million for the townhouses.
“Both Hankyu Realty and P.A Properties share the same vision of enabling people achieve their dreams to live in a place they fully want to live in [and] we are humbled that Hankyu Realty, a well-respected real estate company in Asia and the world, chose us to be their partner in the PH,” said Alvarez.
“Their interest in partnering with us as they expand in the Southeast Asian region is not only about finding a strategic partner but having a partner company that espouses the same values as they have like transparency, trust, reputation and above-all, care for our people― our workforce―the key to both of our company’s’ continued growth and success,” he said.
PA Properties president Jonathan Lu said the joint venture agreement marked the start of the partnership with Hankyu Realty.
“We plan to go further the shore of Luzon and try to tap opportunities in the Visayas and Mindanao. Partnering with Hankyu will certainly help us achieve what we intend to do in terms of expanding our operations geographically,” Lu said.
“Hankyu is a big developer in Osaka and we expect that their technology will help us in improving quality of housing units that we are now presently doing in the Philippines. As I said, we hope that this partnership will bloom and we will grow bigger as we move forward,” he said. With Jamie Andrea Turalba
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