PNOC unit sets completion date for jt venture proj with Sta Lucia

The PNOC Development and Management Corp. (PDMC) expects to complete the construction of a mixed-use residential/commercial estate within its 32-hectare property in Cavite by 2005.

PDMC, the real estate arm of the state-run Philippine National Oil Co. (PNOC), recently entered into a joint venture with Sta. Lucia Realty and Development Inc. to develop the property in Rosario, Cavite named the Costa Verde.

According to PDMC, the property will be exclusively marketed by Royale Homes Marketing Corp.

The groundbreaking ceremonies and the grand open house were held last month, simultaneous with the signing of the marketing agreement among the three companies.

The complex is expected to cater to the middle to upper income market, and commercial areas to meet the expected increased demand attributed to the area’s burgeoning population and employment opportunities.

The real estate arm of PNOC said by next year, a commercial complex will be integrated to expand the existing commercial activities.

PDMC has been very aggressive in its property development activities especially after it announced its privatization plan last month.

Based on the privatization blueprint, PNOC will divest its 53-percent stake in the P1.3-billion real estate subsidiary.

PDMC president Cayetano Paderanga said they could sell the shares to an interested strategic investor.

At present, PDMC handles all the industrial real estate development and management activities of PNOC. It currently manages a 123- hectare property in Rosario, Cavite.

Based on the privatization blueprint, PNOC will sell 10 percent of its 98-percent stake in PDMC to the public; 53 percent to a strategic investor; with the remaining 35- percent stake as maintaining interest.

"The privatization committee will look into the background of the prospective investors. They should give value to PDMC. The invitation for a financial advisor has already been published. We are confident that whoever will be our financial advisor will give PNOC the best value for the shares involved. Now, is the right time to sell because PDMC is very attractive," Paderanga said.

PDMC finance and administrative manager Florendo Garcia said the firm made P3 million in 2001, P7 million in 2002 and is projected to rake in P28 million in net income at the end of 2003.