GERI targets P650-M rental income by 2020
GLOBAL-ESTATE RESORTS, Inc. (GERI) targets to quadruple its rental income by 2020, with the opening of new commercial centers and office towers during the period.
The integrated leisure and tourism arm of listed real estate firm Megaworld Corp. said in a statement on Thursday it looks to book P650 million in rental income in three years.
For 2017 alone, the company’s profit guidance for its office and retail developments is at P150 million, marking a 42% increase from the P105 million the segment generated a year ago.
“In three years, our target rental income is P650 million, which is more than four times our rental income this year. We want to build our recurring income portfolio to ensure a stronger bottom line,” GERI President Monica T. Salomon was quoted as saying in the statement.
GERI will be opening office and retail spaces in Pasig City, Laguna, and Batangas this year. Also expected to contribute to its recurring income are Southwoods Mall and Southwoods Office Tower within the 560-hectare estate Southwoods City.
By 2020, the Andrew L. Tanled firm will also be launching more integrated lifestyle communities (ILC), a residential concept with commercial components and nature as amenities. The group’s first ILC, the 640-hectare Eastland Heights in Antipolo, was unveiled in December 2016.
“We have three ILCs in our pipeline for launch before 2020. These developments are all in the south of Metro Manila where there is still abundance of nature,” Ms. Salomon said.
GERI shares fell by three centavos or 2.34% to P1.25 apiece on Thursday.