AYALA LAND, Inc. and the Araneta group are investing P20 billion to expand their joint venture’s mixed-use estate in San Jose del Monte, Bulacan.
The investment, under the two companies’ Altaraza Development Corp., will be used to develop 600 hectares that will widen the estate.
“This expansion will provide a complete and diverse range of offerings with additional residential products to cater to new market segments, as well as more commercial developments and leisure components,” Ayala Land said in a press release on Monday.
The expansion aims to become the newest growth center north of Metro Manila. It will integrate diverse land uses while preserving the ecosystem of Bulacan province.
The Altaraza estate was launched by Ayala Land in 2014. The mixed-use development sits on 40 hectares in San Jose del Monte. It currently houses two residential communities under the Avida and Amaia brands of Ayala Land. Its commercial district has WalterMart store and QualiMed hospital.
The development is home to two schools: STI Academic Center and Colegio de San Agustin San Jose del Monte.
According to the press release, Ayala Land expects to attract more investments in the estate with the rise of infrastructure projects surrounding it.
The estate is banking on its proximity to Metro Manila aside from the benefits brought by government infrastructure projects such as the Metro Rail Transit Line 7 and the New Manila International Airport.
Ayala Land said that Altaraza recorded a 7-10% compounded annual growth rate. It also saw the value of the commercial lots within the estate grow by 200%.
“Because of Altaraza’s strategic location and growing community in a span of eight years, prices of residential units have appreciated,” the company said.
On the stock market on Monday, shares in Ayala Land lost P1.6 or 5.39% to P28.10 apiece. — Justine Irish D. Tabile