Page 91

Notes to Consolidated Financial Statements

- 46 -

8. Land and Development Costs and Parking Lots for Sale a. Land and Development Costs Movements in land and development costs are as follows: Balance at beginning of year Additions: Development costs Capitalized borrowing costs (see Note 17) Effect of revised allocation Cost of real estate sold (see Note 21) Balance at end of year

2013 P =1,171,426,541

2012 =685,887,592 P

467,520,706 846,094,334 18,018,243 61,150,885 – 297,448,552 – (89,313,748) =1,171,426,541 P =2,286,806,564 P

The details of the account are as follows: Project Alphaland Makati Place (see Notes 4, 12 and 17) Alphaland Tower (see Notes 12 and 17)

2013 P =1,786,169,791 500,636,773 P =2,286,806,564

2012 =913,880,042 P 257,546,499 =1,171,426,541 P

Alphaland Makati Place The Group’s project, named Alphaland Makati Place, which is a joint venture with BSP (see Note 4), is located on a one-hectare premium property along Ayala Avenue Extension corner Malugay Street, Makati City. Alphaland Makati Place consists of three high-end residential towers atop an upscale six-storey podium, the bottom half of which is a shopping center and the top half, a City Club for urban sports and leisure (see Note 11). As of December 31, 2013, the project is 43% completed. Project cost classified as land and development costs pertains to the Group’s proportionate interest in Towers One and Two of Alphaland Makati Place which are intended for sale. In October 2011, the Group started the pre-selling of condominium units in Tower One of Alphaland Makati Place. The terms and conditions of the Contract to Sell (CTS) involve the sale of one condominium unit and one City Club share, i.e., a preferred share of TCCAMPI, in which ownership of the unit and the City Club share are inseparable. Under the CTS, the components are sold under a single selling price with downpayment payable upon signing of the CTS and the unpaid balance payable in monthly installments for a period of three years from date of CTS. Ownership of the City Club share will allow the buyer to enjoy the amenities and facilities of the City Club. On December 5, 2011, the Housing and Land Use Regulatory Board (HLURB) issued a temporary License to Sell (LTS) to AMPI for the sale of condominium units in Tower One of Alphaland Makati Place. The permanent LTS was issued on October 9, 2012. On November 4, 2013, the HULRB issued a LTS to AMPI for the sale of condominium units in Tower Two of the Project. In 2013, the Company designated PBCom (see Note 15) as escrow agent in compliance with Presidential Decree No. 957, as amended, in connection with AMPI’s application for a Certificate of Registration and a LTS with the HLURB. As of December 31, 2013, AMPI is still in the process of transferring the cash to the escrow fund. 91

Profile for Alphaland Corporate Communications

Alphaland Annual Report 2013  

Alphaland Annual Report 2013  

Profile for alphaland
Advertisement