RLC close to finalizing P1.6-B purchase of Magnolia plant

Robinsons Land Corp. (RLC), the real estate development arm of the Gokongweis’ JG Summit Holdings Inc., is close to finalizing an agreement with San Miguel Properties Inc. regarding the sale of the latter’s 5.22-hectare property along Aurora Blvd. which houses the Magnolia ice cream plant.

The Magnolia ice cream factory was established in 1925 and has since become a stamping ground for its traditional concoctions like banana splits, sundaes and parfaits.

The deal is expected to be consummated in a week’s time or until all conditions precedent to the sale has been complied with by RLC. The prime Quezon City property is reportedly being sold for around P1.6 billion. 

RLC president and chief executive officer Frederick Go said the Magnolia property will be converted into a mixed-use complex with a mall, residential buildings and, possibly, office buildings.

Amid an economic slowdown marked by rising costs of fuel, food and construction materials, RLC is aggressively pursuing major new projects which include 16 shopping malls to be developed over a five-year period; and four residential condominium buildings, six housing subdivisions and two office buildings this year.

RLC is spending around P16 billion for the new shopping centers, four of which will be built this year. All malls will have a BPO component to take advantage of the continued strong demand for office space from call center companies.

For next year, RLC is planning new malls in Dumaguete, Davao and Cebu.

RLC has a pipeline of 29 residential condominiums for construction, targeting to launch at least three projects per year and tap new overseas markets which include Europe and the Middle East.

For its housing and land division, RLC currently has 27 ongoing projects and intends to launch at least three and expansion projects per year to capitalize on the huge housing backlog and continuing growth in the number of households. These projects include Monte Del Sol, Costa Verde, Forest Parkhomes North, Hanalei Heights, Wellington Courtyard, Brighton Parkplace, Blue Coast Residences, Brighton Parkplace North and Montclair Highlands. 

Aside from this, RLC will build a 100 to 120 room hotel in a six-hectare property in Tagaytay to be named Summit Ridge.

To fuel its continued growth, the company continues to be on the lookout for prime properties for future development.

RLC earlier acquired five hectares of land with a 170-meter beachfront in Mactan, Cebu which will be converted into a landmark five-star condo-resort.

To expand its reach, RLC has signed joint venture agreements with several landowners for the development of properties totalling 37.8 hectares. These properties are located in Cagayan de Oro, Davao and Bantay, Ilocos Sur.

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