TORRE Lorenzo Development Corp. (TLDC) has been beefing up its leisure business with five projects, ongoing and in the pipeline, amid the coronavirus disease 2019 (Covid-19) outbreak.
TLDC President and Chief Executive Officer Tomas Lorenzo, in a briefing on Tuesday in Makati City, said that the company has been exerting efforts in diversifying to the hospitality and leisure segment from its usual premium university residences portfolios it is best known for.
“We finally crossed over to doing leisure projects around the country. We are excited because tourism was really a market that we saw early,” he said.
Business as usual
Torre Lorenzo inaugurated dusitD2 Davao and Dusit Thani Lubi Plantation Resort in Mindanao last year. In total, these projects cost P6 billion in investment.
Ascott’s hotel brand Lyf is set to be constructed inside mixed-use project Torre Lorenzo Malate.
Dusit Princess Lipa will be built inside Tierra Lorenzo Lipa. Another hotel is also set for construction in Torre Lorenzo’s township in Pampanga.
“Leisure is the emerging economic leg after BPOs (business process outsourcing) after POGOs (Philippine offshore gaming operators). Leisure, tourism, is the next big thing,” TLDC Chief Finance Officer Noel Rapadas added.
Lorenzo, meanwhile, said that the company has been benefiting from the virus outbreak as more tourists opt to travel locally amid travel bans in countries affected by Covid-19.
He added that its facilities have employed safety measures to avoid the further transmission of the virus.
The TLDC chief shared that its supply chain was not affected because it is sourcing most of its inventory locally.
The property firm set its capital expenditure for the year around P7 billion, the bulk of which is earmarked for residential projects.
It is set to conduct a groundbreaking ceremony for its P900-million premium residential project on P. Noval Street in Manila by the third quarter. The project — which is set to be turned over in 2024 — is expected to record P1.6 billion in sales.
TLDC will be breaking ground for a P2.7-billion mixed-used project in Katipunan in Quezon City by the fourth quarter. It is seen to rake in P6.9 billion in revenues.
The property firm will also be building a mixed-use development in Davao, which will primarily cater to students. TLDC is allocating P1.5-billion investment and projecting P2.6 billion revenues.
Last year, TLDC saw its revenues grow by 21 percent to P2.2 billion. It is eyeing to grow in revenues by 25 percent annually in the next five years.