The Terraces at Pontefino is an attractive real estate investment in Batangas

Artist's rendition of The Terraces at Pontefino

If you're on the lookout for an investment option in the real estate industry, there are a couple of things to consider: the price of the property; the developers' solid track record; and the project’s location.

The Terraces at Pontefino looks like it has all three qualities: there are units selling for as low as P5.5 million (a relatively affordable amount for a luxury development in this scale); its developer, Pontefino Hotel and Residences, has been building quality real estate projects for years; and it’s located in a progressive commercial district in Batangas City.

Pontefino Hotel

While the Terraces at Pontefino is still under construction, we were shown (via a digital presentation) what the property is going to look like when it's completed.  Upon completion in 2015, the property (with a total of 98 finished and fully furnished units in sex buildings) will be comprised of spacious lofts with refreshing balconies.

With sleek and streamlined interiors, the units are built with an outdoor design in mind.  Favoring formal simplicity with uncluttered space, it blends exceedingly well to the surroundings while giving attention to the details and finishing.

It’s bound to be a sight to see—and live in, obviously. But what makes The Terraces at Pontefino a very attractive investment option is its unique leaseback program.

“The leaseback program benefits owners who are based abroad. It saves them the trouble of hiring caretakers to maintain their property. More importantly, they earn, too,” said Ricky Gutierrez, the company’s president and CEO.

I have had the pleasure of interviewing Gutierrez earlier this year for an entirely different project--the 25th anniversary of his equally successful restaurant, Chateau. I must say he has shown the same energy and enthusiasm in talking about his pet projects.

Back to the property's Leaseback Program scheme, the program gives unit owners premium return with their investment. Once sold, a unit is automatically enrolled in the program for five years. During this period, owners have the opportunity to earn while their units are rented out.

Ricky Gutierrez (center) and officers of Pontefino Hotel and Residences during the recent media launch

Unit owners earn 30 percent of room revenue, which translates to about P30,000 a month. Earnings, of course, depend on the occupancy rate. But if occupancy rate (90 percent) at the nearby Pontefino Hotel is anything to go by, things look promising.

“Some 80 to 90 percent of our condo unit owners in Pontefino are highly skilled OFWs or those who are based abroad. On the flip side, Batangas have many multinational companies with expats who need housing so they rent units at Pontefino for six months to two years at a time,” Gutierrez said.

What’s more, the leaseback program gives unit owners 12 free room nights a year. After the first five years of mandatory enrollment to the leaseback program, they have a choice of either re-enrolling the unit to another 5-years in the program or living in it themselves.

The lobby of Pontefino Hotel

The Terraces at Pontefino is the latest project within the Pontefino Hotel and Residences compound. Other projects in the area include the centerpiece Pontefino Hotel, a 66-room accommodation; and residential developments Pontefino Residences and Pontefino Prime.

The project’s location is a huge selling factor. Located at Gulod Labac in Batangas City, it's about an hour and half drive from Manila. Pontefino Hotel and Residences is accessible through the STAR Toll Expressway. Within close proximity are SM City Batangas, Holy Trinity Catholic Church, and Stonyhurst International School.

With everything going for The Terraces at Pontefino, it’s no surprise that the group has sold some P200 million worth of property in the first five months of the year, originally the amount they were targeting to close for the whole year.

“Our vision is to build integrated, world-class projects not just in the Philippines but in Asia. Our Pontefino venture in Batangas is just the pilot. We’re looking next at Cagayan de Oro. That’s our goal in the long run—to transform these provinces into global players,” he said.

*** This article first appeared in the Philippine Daily Inquirer on October 11, 2013. It has been edited slightly for TWIST. Enjoy! :) ***