ETON Properties Philippines, Inc., plans to spend P10 billion for the next two years to expand its office space portfolio and more landbanking. Joseph Chua, Eton officer-in-charge, said primary on the company’s thrust is to beef up its recurring income by expanding the company’s office and retail space portfolio.
Ma. Irma B. Tan, Eton Vice President for corporate planning and risk management, said the company plans to have its recurring income at 40 percent of total profit over the long term, which as of the first quarter of the year stands at 28 percent.
Wilfredo Z. Pineda, Eton chief financial officer, said Eton currently has an inventory of 90,000 sq., with its five office buildings — Cyberpod Centris One, and three buildings in Cyberpod Corinthian — with a sixth, Eton Cyberpod Three, under construction, bringing it to 156,000 by the end of the year.
In the next two years, Eton will add another 60,000 sq. of leasable space, according to Pineda and Tan. Six more buildings will rise in Eton Centris.
Pineda said that Eton’s thrust in the office space is driven by the projected growth of the business process and outsourcing industry.
Chua said Eton wants to be one of the companies with the biggest inventory of office space in the country.
The bulk of the capex however remains on infrastructure development of Eton’s land bank, some of which are in
the middle of being reviewed, according to Pineda.
Of the P10 billion capex, Pineda said the office space capex will only amount to about 20 percent.
Pineda said the company is also busy on its residential projects like West Wing Residences and West Wing Villas at North Belton Communities in Quezon City.
Eton Properties is the real estate brand of the Lucio Tan Group, one of the biggest business conglomerates in the Philippines. Its foreign counterpart, Eton Properties Ltd, is an established real estate brand in Hong Kong and mainland China. With an extensive land bank in strategic locations all over the country, Eton specializes in high-end and mid-income high-rise and horizontal residential developments, office projects, commercial centers and mixed-use township developments.