SEC okays City & Land's P200-million short-term notes

MANILA, Philippines - The Securities and Exchange Commission (SEC) has approved City & Land Developers Inc.’s short-term commercial paper (STCP) issuance amounting to P200 million.

Based on its registration statement filed with the SEC, City & Land will use the net proceeds from the offering to partially fund the construction of Grand Emerald Tower, a 39-storey office, residential and commercial condominium located along Emerald Ave. in Ortigas Center.

As of end-March this year, the total estimated development cost to finish Grand Emerald Tower is P525 million. The project is slated for completion in June 2011.

The interest rate for the STCP will be fixed and payable in arrears either monthly, quarterly, semi-annual or annually. The average interest rate as of July 31 is 5.3962 percent.

City & Land is a member of The Cityland Group, a trusted name in the real estate industry with a track record of developing prestigious condominiums. It has been in the property development business for 25 years.

City & Land caters to the low-to-middle income segments since its projects are offered at affordable prices. It developed residential units in Parañaque as well as an office and residential condominium project in Ortigas Center, Pasig City.

Other subsidiaries of the group are Cityland Inc. and Cityland Developers Corp. (CDC).

CDC was incorporated on January 1978 to engage in the development of land for residential, office, commercial, institutional and industrial uses. Its projects include medium to high-rise offices, commercial and residential condominiums located in Makati City and Mandaluyong City and Ortigas, Pasig; and farm lots in Bulacan and Cavite.

CDC earlier secured the SEC’s approval to raise its authorized capital stock from P1.9 billion to P3 billion. It remains on the lookout for quality projects suited for the middle and working class which will be situated at convenient locations with affordable and flexible payment terms.

Funding for its projects will come from internally-generated cash and additional borrowings.

CDC is currently developing The Manila Residences, a 39-storey office, commercial and residential condominium along Taft Avenue. It has completed over 35 condominium projects, holding the record of delivering all its launched projects.