Cebu Landmasters, Inc. (CLI), a leading property developer in VisMin Cebu, has secured a P3-billion sustainability-linked notes (SLN) facility agreement, signaling a strong vote of confidence from institutional investors in its strategic vision and commitment to sustainable growth.
This transaction, which saw BPI Capital Corp. as the sole arranger and bookrunner and BPI Wealth as the facility and paying agent, highlights the crucial role of BPI in facilitating purpose-driven capital for a company expanding its footprint beyond its traditional Visayas and Mindanao strongholds.
The SLN facility, with tenors of seven and 10 years, will provide essential capital for real estate development and general corporate purposes, all aligned with Cebu Landmasters’ sustainability framework. This framework integrates key environmental and social commitments into its financing goals, reinforcing the company’s dedication to creating a positive impact.
The proceeds will contribute directly to CLI’s ambitious target of delivering 16,000 affordable housing units by 2029, an effort that aims to double the company’s total output since its inception and address the pressing housing backlog in the country.
BPI supports CLI’s expansion and vision
BPI’s central role in the transaction underscores its support for companies that are not only financially sound but also socially responsible.
Luis Antonio Zialcita, chief investment officer of BPI Wealth, commented on this partnership, stating, “Our participation in this initiative reflects our belief in the strength of Cebu Landmasters’ vision and our confidence in the long-term value it can deliver.” This sentiment was echoed by other institutional investors, including BPI Asset Management and Trust Corp. and Sun Life Investment Management and Trust Corp. (SLIMTC), which acted on behalf of their clients.
The successful issuance of these notes validates CLI’s growth strategy, which now includes a major expansion into Luzon. The company recently acquired a 3.5-hectare property in Pasig City along Ortigas Avenue Extension, where it plans to launch its first project in the region by the end of 2026.
This multiphase development is set to feature nine towers and at least 5,000 units, predominantly residential with mixed-use components. The project, which targets the middle-to-upper-middle market segment, is a significant step in CLI’s long-term growth plan and a demonstration of its confidence in the Metro Manila property market.
CLI’s sustainable growth strategy gains validation
Grant Cheng, Cebu Landmasters’ Chief Finance Officer, expressed gratitude for the strong institutional backing, saying, “This transaction not only provides us with vital capital for growth but also validates our strategy of pursuing inclusive, sustainable development in fast-growing regions.” He also highlighted that this deal signals the market’s readiness to embrace high-potential companies beyond the usual circles.
This latest issuance builds on CLI’s established track record of tapping capital markets since its IPO in 2017. The company’s disciplined financial management and transparent approach have allowed it to secure various financing instruments, including a P5-billion sustainability-linked bond earlier this year. The continued investor interest, particularly from key financial players like BPI, positions CLI for sustained growth as it ventures into new territories and continues its mission to provide accessible and sustainable housing across the Philippines.
This strategic partnership not only secures crucial funding for Cebu Landmasters’ expansion but also sets a precedent for sustainable finance in the Philippine real estate sector. The focus on affordable housing and regional development aligns with broader national goals, making the collaboration between CLI and BPI a powerful model for purpose-driven business and investment.
The move into Pasig City, a major urban center, further solidifies CLI’s position as a national player, with BPI’s support being a key catalyst for this ambitious new chapter. The successful closing of the SLN facility is a testament to the shared vision of both companies to build a more sustainable and inclusive future.
