After reaching its goal of launching its 35th township this year, developer Megaworld Corp. is bullish on the property sector next year as interest rates start going down.
In fact, Megaworld executive director Kevin Tan said they were looking at launching a minimum of two to three new townships in 2025.
“Our residential business continues to be strong, especially the luxury segment … so we continue to be very bullish on that as interest rates keep going down,” Tan told reporters last week.
Article continues after this advertisementEasing interest rates typically increase demand for properties, as lower borrowing costs boost customers’ confidence in applying for home loans.
FEATURED STORIES BUSINESS BIZ BUZZ: Marcos bats for brown rice BUSINESS UK officially joins Indo-Pacific trade bloc BUSINESS Megaworld to launch 3 new townships in ’25This comes after the Andrew Tan-led developer unveiled the 117-hectare Upper Central township in Cagayan de Oro City, with an initial investment of P5 billion.
The benchmark Philippine Stock Exchange Index (PSEi) shed 0.49 percent, or 36.67 points, to close at 7,400.33.
It is Megaworld’s 35th township project to date, and forms part of the company’s P350-billion expansion plan that it plans to finish by 2027.
Article continues after this advertisementAccording to Megaworld, the integrated lifestyle community will feature residential villages, a commercial and shophouse district, mixed-use developments and a town center.
Article continues after this advertisementThe company is currently pursuing more projects outside Metro Manila as demand for residential properties in the capital region weakens.
Article continues after this advertisementStill, Kevin Tan said they were optimistic that the residential segment, Megaworld’s main income driver, would remain strong in 2025.
In the first nine months of the year, Megaworld’s net income jumped by 14 percent to P13.73 billion, buoyed by the real estate and tourism businesses.
Article continues after this advertisementRevenues likewise climbed by 23 percent to P59.78 billion.
The real estate segment climbed by 30 percent to P37.85 billion, as demand for the company’s township developments increased.
Subscribe to our daily newsletter
new slot machine gamesHospitality under Megaworld Hotels and Resorts saw a 38-percent surge in revenues to P3.64 billion after the launch of two tourism-related townships. —Meg J. Adonis INQkawbet
READ NEXT Over 11k firms face stiff SEC sanctions Traders watch for next BSP, Fed moves EDITORS' PICK World falls short of drought deal at Saudi-hosted talks PH, US air forces hold drill off Pacific coast House panel: PSA probe shows OVP receipts ‘faked’ After UAAP Finals heartbreak, Kevin Quiambao mum on future LIVE: UAAP Season 87 basketball Finals Game 3 La Salle vs UP Maroons back as UAAP hoops kings MOST READ PH, US air forces hold drill off Pacific coast Jamela Villanueva goes cryptic after Maris Racal-Anthony Jennings exposé SOS Network asks VP Duterte to explain use of confidential funds Acop to Dela Rosa: Rebut report with proof, not theatrics Follow @FMangosingINQ on Twitter --> View comments