MANILA, Philippines (2ND UPDATE) - Property giant Ayala Land Inc. on Monday confirmed it is developing a condominium project in Pasig with Japanese trading giant Mitsubishi Corp.
"The Mitsubishi JV is for the Portico project in Pasig. Near Valle Verde Country Club," Ayala Land president Antonino Aquino said.
On Monday, Bloomberg reported Mitsubishi is partnering with Ayala Land for a $405 million (around P17.4 billion) condo project in the Ortigas business district.
Bloomberg quoted Mistubishi's head of township development and construction Masahiro Nagaoka as saying the company has "allied" with Ayala Land for the condo project.
The project reportedly involves the construction of an apartment complex with more than 1,000 units in Ortigas. Nagaoka said Mitsubishi and Ayala have the rights to develop a 3.6-hectare property in Ortigas. Construction is expected to start next year.
Bloomberg said Mitsubishi will have a 40% stake in the project of Alveo Land, a unit of Ayala Land. The 40% stake is the maximum for a foreign investor in real estate in the Philippines.
Nagaoka said the target market is the local "upper-middle income population.
Bloomberg said Mitsubishi is now Ayala Corp.'s second largest shareholder with 10.5%.