By Arra B. Francia, Reporter
CENTURY Properties Group, Inc. (CPG) has partnered with Japan’s Mitsubishi Corp. for the establishment of a company that will develop affordable housing projects that are expected to generate P57 billion in sales over the next five years.
The listed property developer on Wednesday signed a joint venture (JV) agreement with Mitsubishi for the incorporation of Phirst Park Homes, Inc. (PPHI).
PPHI, which will be 60% owned by CPG and 40% owned by Mitsubishi, will have an authorized capital stock of P5 billion. It will be incorporated once the deal is cleared by the Philippine Competition Commission (PCC).
CPG and Mitsubishi decided to form the JV company following strong demand from their first project, Phirst Park Homes Tanza, which was launched last year. The 26-hectare Cavite project offers a total of 3,000 units priced between P1 million and P3 million each.
To date, Phirst Park Homes Tanza has already sold out 98% of its first phase and 16% from the second phase. Reservation sales from the affordable housing project reached P1.4 billion in 2017, coming mainly from first-time homeowners within the Cavite area and from overseas Filipino workers.
Under PPHI, CPG and Mitsubishi will spend around P10 billion over the next five years for the launch of 15 projects with about 33,000 units. The company is currently in various stages of land banking for these projects, with seven properties already identified.
For this year alone, PPHI may launch two projects, one located south of Metro Manila and the other in Central Luzon.
“We’re looking at, at least two, based on the progress of our land acquisition, as soon as we…