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Ayala Land earmarks P85B capex for 2023

Property giant Ayala Land Inc. has beefed up its capital spending budget this year to further expand its portfolio across the country this year.

Ayala Land earmarked P85 billion for capital expenditures in 2023. This is higher than the P72.4-billion it spent in 2022.

The bulk or 39% of the budget will be allocated for residential projects, while 23% will be used for land acquisition.

“As the country's growth continues to gain momentum, we will accelerate the rollout of our large-scale, mixed-use, and sustainable estates. With 49 estates across the country, we see these as additional growth platforms for ALI and as catalysts for economic progress for the communities we serve,” Ayala Land chairman Jaime Augusto Zobel de Ayala said in a speech during the property developer’s annual stockholder’s meeting on Wednesday.

Last year, Ayala Land launched two new estates, namely Areza at Lipa City, Batangas; and Crossroads at Plaridel, Bulacan.

The 92-hectare Areza development is the company’s first master-planned, mixed-use estate in Batangas, while Crossroads is an 83-hectare integrated mixed-use master-planned estate with residential and commercial components in the rising enterprise zone on the eastern side of Bulacan.

“We are investing P15.2 billion for the initial development of these two estates over the next few years. We believe they will spur economic activity in these emerging localities, maximize synergies among our product lines, and enable us to deliver value to these local economies and their stakeholders,” said Zobel de Ayala.

In 2022, Ayala Land saw its diversified real-estate portfolio grow its consolidated revenues by 19% year-on-year to P126.6 billion, on the back of return of mobility and public consumption to pre-pandemic levels.

The company booked a net income of P18.6 billion, up 52% from a year earlier. —KG, GMA News