DoubleDragon Properties Corp. (DoubleDragon) is targeting to build 1 million square meters (sq m ) of leasable space through the roll-out of commercial projects that would bring in P4.8 billion in net profit by 2020.
Consistent with its vision to be one of the top 5 largest property companies in the Philippines by 2020, DoubleDragon Chairman Edgar “Injap” Sia II said they are focusing on commercial developments that would help them attain the P4.8-billion profit guidance by 2020.
“When we registered [with the Securities and Exchange Commission] in April 2014, up to today, we’re still on that same vision—to accumulate 1 million sq m of leasable space from our three major projects,” he said at the sidelines of a special stockholders’ meeting.
“Once we have executed the 1-million-sq-m target, it will translate to P4.8 billion in net profit by 2020. That’s our goal,” he added.
CityMall projects will be rolled out by its subsidiary CityMall Commercial Centers Inc., which is 66 percent owned by DoubleDragon and 34 percent by SM Investments Corp.
The other project, Meridian Park, is a 4.8-hectare project at the corner of Diosdado Macapagal Boulevard and Edsa Extension.
“The 100 City Malls that we’re currently rolling out, along with the Meridian Park in the Mall of Asia area, we are building that right now. It’s a 5-hectare property that will give us about 280,000 sq m of leasable space. And the third project, Jollibee Tower, that will give us about 47,000 sq m of leasable space. All of these projects will give us 1 million sq m by 2020,” he told reporters.
He said these projects would contribute 90 percent of recurring income for the company, coming from the rentals.
About 10 percent of the recurring income would come from interim projects such as W.H. Taft Residences and the likes of Skysuites Tower.
He said 70 percent of their projects will be built in tier-two and -three cities, in places like Palawan, Roxas City, Iloilo and Cagayan de Oro.
Meanwhile, DoubleDragon has approved the increase in authorized capital stock from P500 million to P20.5 billion through issuance of 200 million preferred shares.
The 200 million preferred shares at P100 per share would raise funds amounting to P20 billion.
Joselito Barrera Jr., head of Legal and Compliance Office at DoubleDragon, said the shareholders, likewise, approved the creation of the Senior Management Stock Option Plan.
DoubleDragon has approved the issuance of 45,504,693 options underlying the company’s common shares to be issued pursuant to the company’s management stock option plan.