Empire East sets P3-B capex

MANILA, Philippines - Empire East Land & Holdings Inc., a member of the Megaworld Group of Companies, has earmarked P3 billion for its capital expenditure program this year to complete ongoing projects.

The planned capital budget, which is higher than the P2.3 billion alloted in 2011, will be funded by collections, borrowings and equity financing.

Empire East, the low-to-middle income housing arm of real estate tycoon Andrew Tan, has approved a pre-emptive rights off ering to beef up its landbank and fund projects.

The shares to be issued will come from the P10-billion increase in the company’s authorized capital.

Empire East plans to issue one new share for every four existing shares at P1 apiece. The record date for the rights off er shall be on the 15th trading day after approval by the stock exchange of the listing application.

The company rolled out three new residential phases in its transit-oriented developments – Maple Heights in Pioneer Woodlands, Green Club Towers in Little Baguio Terraces in San Juan, and Madison Plaza Towers in San Lorenzo Place.

Aside from these, Empire East is building Rochester, a combination of 10 mid-rise and high- rise buildings in Pasig City with a total of 2,100 residential units; and Kasara, a resort inspired residential community near C-5 road in Pasig.

With Kasara, the company hopes to tap an underserved market of Filipinos moving toward healthy, green and stress-free living. The project features 2,000 studios and one-to-three bedroom homes.

Empire East reported a net income of P186.12 million last year, down 26 percent from P250.26 million in 2010. Revenues likewise declined 13 percent to P1.95 billion.