PROPERTY DEVELOPMENT
The property development business generated ₱117.6 billion in revenues from the sale of lots and units under the five residential brands, supported by sales of office units and commercial and industrial lot sales. It also includes revenues from MCT Bhd, Ayala Land’s consolidated subsidiary based in Malaysia. Property development comprised 69 percent of Ayala Land’s real estate revenues in 2019.
Sales reservations grew by 3 percent to ₱145.9 billion in 2019. ALVEO and Avida fueled the growth, even as AyalaLand Premier made fewer launches during the period. Ayala Land launched ₱158.9 billion worth of property development projects in 2019, surpassing its initial estimate of ₱130 billion.
Residential
Revenues from the sale of residential lots and units and MCT Bhd’s operations declined by 8 percent to ₱93.2 billion. The decrease was due to the lower contribution of AyalaLand Premier and ALVEO as most of their vertical projects recognized in 2019 were booked in previous periods and are now nearing completion.
Office for Sale
ALVEO led the growth in revenues from the sale of office units in 2019. It rose 13 percent to ₱13.1 billion from its projects such as ALVEO High Street South Corporate Plaza 2, ALVEO Park Triangle, One Vertis Plaza and Park Triangle Corporate Plaza. Capitalizing on its strong brand, ALVEO launched the Cerca Enterprise Plaza in Alabang composed of 343 units valued at ₱8.3 billion.
Commercial and Industrial Lots for Sale
Sales of commercial lots in key estates such as Altaraza, Vermosa, NUVALI, and Broadfield propelled revenues by 46 percent to ₱11.3 billion.
The launch of the Broadfield estate by ALVEO in 2019 will provide the pipeline for growth in commercial lot sales, building on current offerings in existing estates such as Altaraza, Arca South, Vermosa and NUVALI. Broadfield has 80 hectares for commercial use. The first phase covers 36.6 hectares, including the first tranche of 35 commercial lots which was offered to the public in October 2019.
COMMERCIAL LEASING
The commercial leasing business, which consists of shopping centers, office buildings, and hotels and resorts, posted ₱39.3 billion in revenues as new leasing assets increase in contribution. Commercial leasing generated 25 percent of real estate revenues. The leasing portfolio continued to expand with malls and offices totaling 2.1 million and 1.2 million sq. meters of GLA, respectively, and hotels and resorts with 3,705 rooms.
Shopping Centers
The shopping centers segment, represented by Ayala Malls, posted revenues of ₱22.0 billion, 11 percent higher than previous year, on the growth from newly opened malls such as Ayala Malls Feliz, Ayala Malls Capitol Central, and Ayala Malls Circuit Makati. Same-mall revenue growth registered at 8 percent.