Robinsons Land Corp., the property arm of the Gokongwei Group, earmarked P16 billion for 2017 capital expenditures primarily to construct new malls, offices and hotels.
Robinsons Land said in a filing with the stock exchange about 53 percent of this year’s programmed spending would go to the development of new and expansion of existing malls, offices and hotels.
Another 25 percent would be allocated for the completion of ongoing residential property developments while the remaining 22 percent would be spent to replenish the company’s landbank.
The property firm said the 2017 capital spending would be funded through internally generated cash from operations and borrowings.
Robinsons Land is currently the second largest mall operator in the country with 44 malls as of end-September 2016. In the pipeline for the next two years are seven new malls and three expansion projects.
It said the P16-billion spending would only cover domestic operations and would be on top of the budget plan for residential developments with small retail components in China.
Robinsons Land acquired an 8.5-hectare property in Chengdu, China for $200 million in 2015.
The company is now in the process of securing necessary permits from the Chinese government to push through with its first residential venture outside the Philippines.
Robinsons Land, the real estate arm of conglomerate JG Summit Holdings Inc., is primarily engaged in the development and operation of shopping malls and hotels and the development of mixed-use properties, office and residential buildings and land and residential housing developments, including socialized housing projects located in key cities and other urban areas nationwide.