Federal Land and Nomura Real Estate launch joint venture
Real estate developer Federal Land, Inc. and Japanese company Nomura Real Estate Development Co., Ltd. (NRE) have joined to form a joint venture that integrates the expertise of both companies.
Federal Land NRE Global, Inc. (FNG), the joint venture, aims to “integrate Japanese innovation, technology and design with knowledge of the Philippine market and Federal Land’s reputation for well-built and innovative properties.”
“We want to make a difference in the lives of the communities in which we find ourselves. FNG is a marriage that speaks of shared values, shared aspirations and complementary areas of expertise,” said Federal Land President Alfred V. Ty at a press conference on Tuesday. .
“Our mission is not only to offer Filipino products that are the best in the Philippines, but also from the best practices in the region and around the world,” he added.
The initial project under FNG comprises a total area of over 250 hectares of residential, office, commercial and industrial developments in the cities of Metro Manila, Cavite and Cebu.
This should generate 6,000 job opportunities in the first five years of operation.
“We are able to expand our local capabilities and further enhance our credentials as a global brand. Given the strategic locations and equally large capital investments, we are looking at developments over 15, 20 and even 50 years,” Mr. Ty said.
He said the partnership will result in “unique product offerings for Filipinos.”
“FNG is studying mixed-use townships of residential and office products. FNG is here to make a difference in Philippine real estate and, more importantly, in the lives of the communities we belong to,” he added.
Federal Land and NRE previously partnered for The Seasons Residences, a four-tower high-end residential development in Bonifacio Global City.
“We believe that we can contribute to the foreign market with our knowledge and know-how. We have expanded our business to the Philippines as it is one of the most important markets for us,” said NRE Chairman Eiji Kutsukake.
“The Federal Land and the NRE have [conducted] a lot of discussions to give the best result. We are able to deliver such wonderful products together,” he added.
Federal Land President Thomas F. Mirasol said the group had a positive view of the real estate market.
“The Filipino consumer has proven to be quite resilient and their passion [for] Investing in real estate goes back several generations. We don’t just rely on research, but even in our own experience we see the value of our sales reaching pre-pandemic levels,” he said.
“Some of our projects go far beyond what we used to do during the pandemic. We are very optimistic about what the future holds,” he added.
Nomura Real Estate Development is one of the main companies of the Nomura Real Estate group, which is engaged in real estate activities, including the development of residences, offices, retail, logistics facilities and hotels, among others.
Federal Land is the real estate arm and wholly owned subsidiary of GT Capital Holdings, Inc. Other GT Capital holdings include Metropolitan Bank & Trust Co., Toyota Motor Philippines Corp., Philippine AXA Life Insurance Corp. and Metro Pacific Investments Corp. ., among others.
Trading on Tuesday, shares of GT Capital ended up 2.95% or P1.40 at P468 each. — Luisa Maria Jacinta C. Jocson