The SM group of companies is also considering a bid for the government’s 120-hectare Food Terminals Inc. property in Taguig City which has already attracted the attention of other real estate firms such as Ayala Land Inc.

In an interview with reporters, SM Investments Corporation vice chairman and SM Development Corporation chairman Henry Sy Jr. said there is a 50-50 chance that they will be bidding for the property although they are still doing the numbers.

He noted that “we don’t want to be too exposed” as a result of buying such a big piece of land.

SMIC is already planning to issue fixed rate dollar denominated bonds to refinance debt while SMDC is planning to raise P5 billion from a stock rights offering to finance the purchase of more land.

While SMIC is involved in the development of Hamilo Coast and the SM Business Park in the Bay Area, SMDC is developing high and medium rise condominium projects in Metro Manila. SMDC president Rogelio Cabunga said their stock rights offering will launched early next year and proceeds will be used to help them finance the expansion of the company’s land bank.

Cabunag noted that they remain very bullish about prospects of the real estate sector adding that they currently have 20 sites that are under development or will be developed soon and they still want to acquire more property. SMDC chief information officer Jose T. Gabionza said the property firm wants to acquire more land which they will use for their future projects, adding that the firm has already “used up almost all of its land bank.”

“We do not have that much land to develop anymore. SMDC is still a young company and we want to be a big player in the industry too which is why we are acquiring more land,” he said.