M'bishi group backs housing projects via local arms in Philippines
MANILA, NNA - Japan's Mitsubishi group is gearing up to develop and sell housing via local affiliates in the Philippines amid booming demand from the growing middle class.
Security Bank Corp. of the Philippines, an affiliate of MUFG Bank of Japan, inked a package deal on Monday with developer PHirst Park Homes Inc., covering both financing for real estate projects and loans to home buyers.
The local lender, which is 20 percent owned by the Japanese megabank under Mitsubishi group, will lend 450 million pesos ($8.7 million) to help the developer undertake housing projects, they said at a signing ceremony in Makati.
Japanese trading house Mitsubishi Corp. teamed up with local realtor Century Properties Group Inc. last year to cash in on growing housing demand in the Southeast Asian country, establishing PHirst Park Homes. Mitsubishi holds a 40 percent stake in the venture while Century Properties owns 60 percent.
The joint venture is currently undertaking three housing development projects in locations south of Manila with a total of 5,867 apartment units costing as much as 2.4 million pesos. Vice Chairman Kiyoto Asari said 1,700 units have already sold in Cavite Province.
Demand for housing targeted at the middle class always surpasses supply, PHirst Park Homes President Ricky M. Celis said, adding that potential demand from the group is seen at about 6 million units in the Philippines.
PHirst Park Homes plans to embark on another two projects in Bulacan Province, north of the capital, and Laguna Province, to the south, this year, Asari said.
The company aims to tap 15 housing development projects in the country over the next five years. (NNA/Kyodo)