CEBU Landmasters, Inc。 (CLI) posted 20% higher reservation sales in the first half as demand for its housing projects were sustained despite the coronavirus disease 2019 (COVID-19) pandemic。
In a statement Wednesday, the Cebu-based property developer said it sold P3.4 billion worth of homes or more than 1,500 housing units in the second quarter, raising its first half reservation sales to P6.2 billion, 20% up from last year’s P5.2 billion.
CLI said its most prominent customers are economic and mid-market buyers, as its 986-unit Casa Mira Towers in Cagayan De Oro was sold out as early as mid-June, and its Casa Mira Towers Mandaue and Casa Mira Iloilo were recording sales velocity of 81% and 50%, respectively. Casa Mira is CLI’s economic housing brand.
The company’s mid-income brand, 204-unit Velmiro Greens Bohol, has also been 80% sold so far. Its socialized-housing project, 686-unit Villa Casita North in Cebu, had already been sold out.
“The pandemic is making buyers realize the necessity to live in safe and secure communities。 It serves as an added push for families to buy their much-needed home, and they see that CLI’s housing brands fulfill their requirements particularly our economic and mid-income communities,” CLI Chief Executive Officer Jose R。 Soberano said in the statement。
As of end May, CLI said its available residential units have been reduced to 10%, and it has since been preparing to launch new projects to beef up its inventory. Most of these will be located in Cagayan de Oro, Dumaguete, Bacolod and parts of Cebu province, where it said construction works have been allowed to resume.
“The continuous activity within a project site draws greater buyer interest in a development,” Mr. Soberano said. “We can see buyers now putting even higher priority in owning a home. Perhaps this is their way of securely dealing with the many uncertainties and investing in housing is as stable as it is necessary.”
Earlier this month, CLI said it was keeping a capital expenditure budget of P10 billion as it targets to launch a total of 14 projects for 2020。 This would add P19。4-billion worth of projects to the company’s inventory。
Earnings of the company slipped 4% to P572.23 million in the first quarter due to slower revenues as affected by the pandemic.
Shares in CLI at the stock exchange inched up one centavo or 0.24% to P4.21 each on Wednesday. — Denise A. Valdez