CHI attributes upbeat 2020 to office leasing portfolio

CEBU, Philippines —  Battered by the brunt of the lingering pandemic, the Cebu Holdings Inc., (CHI) attributed its leasing business as the core driver of its 2020 revenue performance.

According to CHI, one of the business drivers for CHI in 2020 was its office leasing portfolio.

“With the continuing operation of the IT/BPO industry despite the lockdowns, its six existing office buildings maintained 100 percent occupancy. The company was also able to renew contracts in 2020 and signed up new tenants for recently completed buildings, Central Bloc Towers One and Two,” the company said in a statement.

Today, Wednesday April 14, 2021, Ayala-led CHI holds its Annual Stockholders Meeting via zoom reporting on its 2020 performance.

Among the highlights for the premier property developer last year was the groundbreaking of the 26-hectare South Coast City development at the South Road properties, a partnership with parent company Ayala Land and SM Prime Holdings Inc. This 26.3-hectare waterside commercial area is designed to attract and spur new business investments in the province.

 South Coast City is strategically located along the Cebu South Coastal Road and can be accessed via the new CCLEX bridge (the third Mactan-Cebu Bridge). Land development is expected to be completed by 2022. Within South Coast City is District Square, a prime area which offers commercial lots that present landbank and investment opportunities ideal for offices, hotels, and other commercial uses.

With the current business districts, Cebu Business Park and Cebu IT Park, nearing full-build-up, South Coast City is poised to be the next new growth center for Cebu. CHI is also currently developing the 17.5-hectare Gatewalk Central, a business district in Mandaue City, and the 14-hectare Seagrove, an ecotourism destination in Lapu-Lapu City.

Meanwhile, CHI’s retail leasing business was hard-hit by the pandemic as only essential shops stayed open for the 2-month Enhance Community Quarantine (ECQ), and due to the continued limited mobility of the public. The company extended up to 70 percent in rental concessions amounting to P707.4m to assist its merchants.

AyalaMalls continued to innovate with programs such as A.N.A. or the AyalaMalls Neighborhood Assistant, DriveBuy and other online initiatives to help consumers navigate this new normal and still have access to hundreds of merchants from the comfort of their homes.

Despite the challenges of 2020, CHI was able to weather them by achieving financial sustainability, protecting its people, serving its customers, helping the community, and thinking ahead towards recovery.