MANILA - Real estate giant Ayala Land Inc. (ALI) is planning to issue a third tranche of its "Homestarter bonds" next year, following the success of the first 2 tranches.

In an interview with reporters, ALI Chief Finance Officer Jaime Ysmael said the proposed P1-billion bond issue is slated at the first half of next year. 

"In response to the highly successful Homestarter bond, we are lining up a third tranche, hopefully in time for our product launches next year so that we can further support our business," he said, adding that ALI is currently in talks with partner banks on the issuance of up to P1 billion in bonds.

On top of this, Ysmael said ALI may open the "Homestarter" bond scheme to overseas Filipino workers (OFW). "OFWs definitely are one of the markets that we would like to tap more systematically. We will see how we can actually sell it abroad," he said.

ALI started selling the second tranche of "Homestarter" bonds worth up to P504 million last month, which Ysmael said were oversubscribed. The scheme's primary targets are mid-income individuals and couples who wish to have their own homes.

Under the "Homestarter" bond scheme, buyers are made to set aside a minimum of P5,000 a month for 36 months, or a total of at least P180,000.

The amount, which will earn 5% annually, will then be used as downpayment for a housing unit developed by ALI through its residential brands.

At present, ALI has 3 residential brands: Ayala Land Premier, Alveo Land, and Avida Land.

ALI reported a net income of P2.07 billion for the first half of the year, a 34% drop from the P3.13 billion recorded in the same period in 2008.

Ysmael said the company's third-quarter financial results were better compared to the previous quarters.

"It is definitely better than the first 2 quarters. It's an upward trajectory but overall we are still down compared to last year. We cannot reverse it right away, it takes a while but at least quarter on quarter trends improving," he said.