ABOITIZ InfraCapital, Inc. has partnered with Yuchengco-led House of Investments, Inc. (HI) to develop and expand its Tarlac Economic Estate.
“This partnership builds on the strong momentum we’ve already achieved, further enhancing investor interest and confidence in TARI Estate,” Aboitiz InfraCapital Head of Economic Estates Rafael P. Fernandez de Mesa said in a statement released on Thursday by parent firm Aboitiz Equity Ventures, Inc.
In separate stock exchange disclosures, the companies said the partnership will be through a joint venture under House of Investments’ Tarlac Terra Ventures Inc.
The tie-up, which is still awaiting corporate and regulatory approvals and the finalization of a definitive agreement, aims to expand Aboitiz InfraCapital’s TARI Estate.
The infrastructure arm of the Aboitiz group said the collaboration for the joint development of its Tarlac Economic Estate through Tarlac Terra Ventures will incorporate House of Investments’ 184-hectare property adjacent to its estate’s ongoing development.
Tarlac Terra Ventures, the owner of the 184-hectare property, is owned by House of Investments. Under its newly formed agreement, House of Investments will retain a 51% stake, while Aboitiz InfraCapital will hold the remaining 49%.
Aboitiz InfraCapital said the development will also utilize mixed-use components to complement its industrial and business offerings.
“Together, the two companies plan to develop and market the land for various mixed-use purposes, enhancing the overall ecosystem within the expanded TARI Estate. The project is aligned with Aboitiz InfraCapital’s long-term vision of creating a smart and sustainable community hub in Central Luzon,” it said.
Aboitiz InfraCapital also said the collaboration aims to boost the regional economy by generating more jobs and attracting both local and foreign investors.
“This joint venture will be an expansion of HI’s business interests into land development, diversifying our property portfolio. We aim to provide long-term value through flexible, sustainable, and forward-thinking real estate solutions,” House of Investments President and Chief Executive Officer Lorenzo V. Tan said.
Aboitiz InfraCapital’s TARI Estate has an initial 200-hectare development, the company said, adding that the integration of House of Investments’ mixed-use property will transform the property into a “range of opportunities for industrial, commercial, and business activities within the estate.”
At the stock exchange on Thursday, shares in Aboitiz Equity Ventures closed five centavos, or 0.13% higher, at P37.25 apiece, while shares in House of Investments closed unchanged at P3.50 per share. — Ashley Erika O. Jose
