MANILA – Philippine billionaire Andrew Tan remains bullish about the real estate sector.
Owner of Megaworld Corp, Tan said the company chalked up a double-digit growth in revenues and reservation sales last year.
“I think this year it will continue to be strong so I’m very confident about the property market. It has very strong fundamentals,” he said.
Asked about a possible bubble in the real estate sector, Tan said, “I don’t see any indication of that.”
Megaworld is part of Alliance Global Group Inc (AGI), the holding company for Tan’s real estate, liquor, hotel and gaming and quick service restaurant businesses.
“We are quite bullish actually about this year. I think we see growth in all our different subsidiaries of Alliance Global Group,” Tan said.
Megaworld nearly tripled its earnings to P19.03 billion at end-September buoyed by an P11.62-billion non-recurring gain, strong residential sales in its various township and higher leasing income from its office and retail portfolio.
Combined revenues of Megaworld and its subsidiaries – Global-Estate Resorts Inc (GERI), Empire East Land Holdings and Suntrust Properties – went up by 57 percent to P41.86 billion in the nine-month period from P26.68 billion the previous year.
The Megaworld Group also posted P70.2 billion in reservation sales, an 11 percent increase from P63 billion in 2013.
The consolidation of Tan’s real estate companies under Megaworld was completed last June with the acquisition of a 49.2 percent stake in GERI by AGI. This follows a similar move involving Empire East and Suntrust.
Source: http://www.interaksyon.com/business/102798/megaworld-likely-turned-in-double-digit-growth-in-2014