Robinsons Land, the real estate arm of the Gokongwei family’s JG Summit, plans to inject 25 billion pesos ($442 million) worth of properties into RL Commercial REIT (RCR) to support its growth. The company raised around 8.5 billion pesos through the sale of 1.72 billion shares at 4.92 pesos each. This move will help fund the acquisition of office buildings, shopping malls, hotels, and warehouses, increasing RCR’s gross leasable area by approximately 60%.
RL Commercial REIT currently holds a portfolio of 16 prime commercial assets across the Philippines with a total gross leasable space of 480,000 square meters. Robinsons Land, as the majority shareholder of RCR, aims to enhance the REIT’s growth by adding high-quality assets that complement its existing office portfolio. Lance Gokongwei, chairman, president, and CEO of Robinsons Land, emphasized the company’s commitment to maximizing shareholder value for both Robinsons Land and RCR through this strategic move.
Robinsons Land announced a 24% increase in net profit in 2023, reaching a record high of 12 billion pesos. This growth was driven by the success of its shopping malls and hotels, with the company owning vast spaces of shopping malls, offices, logistics facilities, and hotels across the country. The Gokongwei family’s business empire also includes interests in airlines, food and beverage, banking, petrochemicals, and utilities, highlighting its diversified portfolio and strong presence in various industries.
Founded by the late billionaire John Gokongwei in 1954 as a corn starch factory, JG Summit has evolved into a conglomerate with significant influence in the Philippine economy. Following Gokongwei’s passing in 2019, his six children—Lance, Robina, Lisa, Faith, Hope, and Marcia—inherited his fortune. Together, the siblings have a combined net worth of $3 billion, making them one of the Philippines’ wealthiest families ranked at No. 7 on the list of the country’s 50 richest individuals.
The injection of properties into RL Commercial REIT signals Robinsons Land’s commitment to expanding its real estate portfolio and enhancing its overall value. With a focus on quality assets and strategic investments, the company aims to drive growth and profitability for both Robinsons Land and RCR shareholders. This move aligns with the company’s vision for sustainable long-term success and continued contribution to the growth of the Philippine real estate sector.
As one of the largest developers in the Philippines, Robinsons Land’s strategic initiatives and financial performance reflect its leadership in the market. The company’s strong track record, diversified portfolio, and commitment to value creation position it for continued success in the dynamic real estate industry. With a focus on innovation, customer satisfaction, and shareholder value, Robinsons Land remains a key player in driving economic growth and development in the Philippines.
