Avida Land launches condo in Makati as it looks to attract yuppies, OFWs

MANILA, Philippines - It wasn’t exactly the most auspicious project launch for Avida Land Corp. After all, the Ayala Land Inc. (ALI) subsidiary experienced its most number of cancellations and defaults in the last quarter of 2008, company officials disclosed. This explains why it was forced to postpone its launch of Avida Towers San Lorenzo set for October last year. But on May 11, the company decided that the launch’s postponement was one too many. During that Monday, Avida Land unveiled its second high-rise project in Makati City, betting that overseas Filipino workers (OFWs) and young urban professionals will bolster demand for the project. Avida Land is banking on the “resilience" of end-users, “who will still have to buy property even if there's a downturn given that they have the money," Christopher Maglanoc, Avida Land vice president and head of Project and Strategic Management Group. Moreover, overseas Filipinos, which comprise a significant portion of the company’s buyers, are looking for projects which are affordable, another executive said. “OFWs are mostly looking for affordable condos rather on houses and lots because of security concerns," said Rex Mendoza, Ayala Land senior vice president for corporate sales and marketing. Called Avida Towers San Lorenzo along Pasong Tamo extension, the condominium boasts of 1,132 units in two towers. Units cost anywhere from P1.8 million to P4.5 million, the company said. The first tower’s construction, which has 30 floors, will begin in the third quarter of this year. It will be turned over to its owners starting 2013. The project is a joint venture with Makati Greenbelt Palms Land Inc., owned by Chinese nationals. The 8,070 square meter property, where the project is situated, was contributed by MGPLI. Avida Land officials refused to divulge details about the partnership but said MGPLI will get the “equivalent units" for their property. Since 2003, Avida Land has launched 16 towers, of which 12 are already sold out. Another project in the offing is a subdivision in Cavite. “The condo market is not as strong as it was in 2007 but there have been some improvements," Maglanoc said. “For the first quarter, we have better management of our receivables. In the first quarter, we are seeing some bottoming out following the fourth quarter's worst cancellation rate," he added. - GMANews.TV