GSIS eyes biggest real estate sale this year

Posted at 03/17/14 10:56 AM

MANILA, Philippines - The Government Service Insurance System (GSIS) is planning its biggest-ever sale of real estate assets this year.

Bloomberg reports the state pension fund, which has about P730 billion in investible assets, has identified eight properties for sale.

"Property prices have increased phenomenally in the past three years... It seems a good level to finally realize some value while liquidity is plentiful and a lot of investors are interested in land and looking for strategically located properties," GSIS president Robert Vergara was quoted as saying.

The 8 properties are part of a P31 billion real estate portfolio that have not been earning income.

The development comes as land prices surged to a 16-year high, its highest level since the Asian financial crisis.

An Asia Pacific survey by the Urban Land Institute and PwC showed Manila ranked fourth out of 23 Asian cities in terms of city investment prospects. Manila was ranked behind Tokyo, Shanghai and Jakarta. - ANC