MANILA, Philippines - High-end property developer Shang Properties Inc. said it expects a revenue of P10 billion from the first phase of its One Shangri-La Place twin-tower condominium project in Mandaluyong.
Shang Properties outgoing president Juan Andres Bautista said more than 400 units in the first tower worth P3 billion were already sold. The 60-storey structure will have a total of 580 units.
Bautista is leaving the company on July 1 to join the Aquino administration.
Bautista said the company expects a bigger revenue from the second tower which will have more floors. The project however, is not yet being offered for pre-selling.
The One Shangri-La Place is part of the Shangri-La integrated community that includes the Edsa Shangri-La Hotel and Shangri-La Plaza shopping mall.
The first tower will be built on top of a six-level Shangri-La Plaza mall expansion. Construction began in October 2009, with the retail component completed by 2012, while the residential units will be ready for turn over in 2014.
To raise funds for its projects, Bautista said Shang Properties is planning a share offering in 2011 to double its public float to 20% from 10%.
Shang Properties outgoing President Juan Andres Bautista is in talks with several financial advisers to determine the best possible options that could be adopted to make the company's stock more liquid.
Aside from follow on offering, the company is also considering a private placement, and the creation of a real estate investment trust company for its shopping mall and office development.
Shangri-La owns Shangri-La Plaza Corp, which operates nearly 175,000 square meters Shangri-La Plaza mall.
In 2009, Shangri-La Plaza posted a revenue of P930 million, up 8% from the year before, while net income jumped 50% to P373.3 million.
Shares of Shang Properties which are listed at the Philippine Stock Exchange, last traded on June 22 at P1.80 a piece.