MegaWorld tempers pandemic impact with stronger, stable office business

MANILA – Andrew Tan-led property giant Megaworld closed deals for new office leases last year, even as the three quarters of the year were marred by community lockdowns across the country.

Around 135,000 square meters of fresh office space inventory were leased out in the company’s townships in Iloilo, Quezon City, and Fort Bonifacio. Around 78 percent of these new leases are part of the expansion programs of existing office partners while the rest were taken by new client compani es.

“These are mostly companies operating BPOs, e-commerce, logistics, and finance. And we are very happy to see the strong interest in our office developments in Iloilo Business Park. Approximately 20 percent of new leases have been booked there and we even cemented our dominance in terms of market share in the Iloilo office market,” reveals Kevin L. Tan, chief st r at egy office, Megaworld.

In addition to new leases, the company also bagged lease renewals of around 145,000 square meters of office spaces from various company tenants last year.

Megaworld Premier Offices ended 2020 with P10.4-billion in rental revenues, just around the same level in the previous year.

The company was also able to complete the construction of around 87,000 square meters of fresh office spaces last year, bringing the total leasable office inventory to 1.4-million square meters. This excludes the office spaces that are for sale in Iloilo Business Park and Maple Grove in Cavite.

“At this point, we can say that our office business is the most stable income generator in our company’s revenue stream with or without this health crisis, and we continue to focus on the expansion of this business in the years to come and further strengthen our leadership in the country’s office property sector,” says Tan.

In 2020, the company’s net income slipped by 45 percent to P10.6-billion while consolidated revenues decreased by 35% to P43.5-billion compared to the previous year due to the pandemic. Net income attributable to parent company stood at P9.9-billion last year.

On a quarter on quarter basis, however, the last quarter of 2020 saw signs of remarkable recovery in most of the company’s core businesses, particularly on Megaworld Lifestyle Malls, Megaworld Hotels, and even on the residential business, as the country eased quarantine measures in time for the holiday season.

Real estate sales grew 22 percent in the fourth quarter compared to the third quarter last year with reservation sales up 85 percent quarter on quarter, while Megaworld Lifestyle Malls and Megaworld Hotels also grew 24 percent and 25 percent quarter on quarter, respectively.

"Through continuous innovation and strengthened relationships with our customers and retail partners, we were able to preserve Megaworld’s profitability. The adjustments made by our various business segments amidst the challenging environment allowed us to benefit from the gradual reopening of the economy.

CITY OF SAN FERNANDO---- Leading life insurer Pru Life UK continues to provide its customers protection from COVID-19, with the latest offering of its free PRUPersonal Accident insurance with COVID-19 and vaccine cover valid for one year through Pulse, the company’s all-in-one health and wealth app.

“With the resurgence of COVID-19 cases in the country, Pru Life UK would like to provide peace of mind with exclusive insurance coverage at no cost to the public that will help alleviate their financial worries in these uncertain times. This is part of our continuing commitment for WeDO health, for the health and wealth protection of more Filipinos, an initiative that started with our free COVID-19 protection we offered in April last year, now further bolstered with the inclusion of the COVID-19 vaccine coverage this year,” shares Antonio G. De Rosas, Pru Life UK President and CEO.

The free Personal Accident – Accidental Death and Disablement/ Dismemberment (PA-ADD) Benefit Plan with COVID-19 and COVID-19 Vaccine Protection Cover, the first and most comprehensive coverage in the industry, provides for a death benefit or lump sum amount for the bereaved family if the insured passes away due to the following, subject to terms and conditions:

· Php 50,000 as a result of COVID-19, or as a result of an adverse effect of a COVID-19 vaccine, or · Php 25,000 if death is due to accident

· Php 10,000 burial benefit will be added if the death is due to illnesses or natural causes, and not due to an accident

This free limited-time offer is available until May 31, 2021 for the first 250,000 registrants in Pulse. Filipinos aged 18 to 64 and residing in the Philippines are eligible for this offer. As a digital product available on Pulse, issuance of policy to the policyowner, as well as submission of claims is simplified in Pulse.

To register for the offer, one must download the free Pulse app from Google Play and App Store. New Pulse registrants are required to create an account, complete their user profiles, and register for the free COVID-19 offer on the app. Existing Pulse registrants simply need to register by clicking PRUShoppe on Pulse and clicking the free PA with COVID-19 and vaccine protection tile. A confirmation email is sent to the covered person upon successful registration. The covered person will also be able to name and update their beneficiaries through Pulse within the coverage period.

The free accident insurance with COVID-19 and vaccine coverage is one of several pioneering initiatives of Pru Life UK in 2020 at the height of the pandemic to help protect Filipinos to cope with public health emergency. (PR)