Aboitiz InfraCapital And Yuchengco Group To Jointly Develop Economic Estate In Central Luzon

Aboitiz InfraCapital (AIC), the infrastructure arm of the Aboitiz Group, and the Yuchengco Group of Companies’ House of Investments (HI) have announced plans to jointly develop an expanded economic estate in Central Luzon through Tarlac Terra Ventures, Inc. (TTVI).

In an agreement signed last Oct. 9, 2024, in Makati City, the Yuchengco Group’s non-bank holding company House of Investments and Aboitiz InfraCapital Inc. will be incorporating HI’s 184-hectare property as part of AIC’s expanded TARI Estate in Tarlac.  Leading the signing were Lorenzo V. Tan, HI president & CEO, and Cosette V. Canilao, AIC president & CEO. They were joined by Gema O. Cheng, House of Investments EVP-COO, CFO, & treasurer, and Rafael Fernandez de Mesa, LIMA Land Inc. president & Aboitiz InfraCapital Economic Estates head. I Photo: House of Investments

This strategic partnership will expand AIC’s TARI Estate in Tarlac City by integrating HI’s 184-hectare adjacent property into the estate’s ongoing development.

The expansion will introduce mixed-use components to complement its industrial and business offerings, according to AIC’s disclosure to the Philippine Stock Exchange (PSE). TTVI, which owns the 184-hectare property, is fully owned by HI.

Under the terms of the agreement, HI will hold a 51 percent stake, while AIC will maintain 49 percent. The two companies aim to develop and market the land for various mixed-use purposes, enhancing the overall ecosystem within the expanded TARI Estate.

AIC emphasized that the project aligns with its long-term vision of creating a smart and sustainable community hub in Central Luzon.

The partnership is expected to boost the regional economy by creating jobs, attracting local and foreign investments, and driving sustainable progress in the area.

Rafael Fernandez de Mesa, Aboitiz InfraCapital's Head of Economic Estates, stated, “This partnership builds on the strong momentum we’ve already achieved, further enhancing investor interest and confidence in TARI Estate. By leveraging our combined expertise, we are well-positioned to deliver a development that addresses the needs of businesses and communities while strengthening the estate’s status as a premier investment destination in Central Luzon.”

Lorenzo Tan, President of House of Investments, commented, “This will be our first major venture into economic estates. We are excited to partner with AIC, one of the leading industrial estate developers in the country. This joint venture expands HI’s business interests into land development, diversifying our property portfolio. We aim to provide long-term value through flexible, sustainable, and forward-thinking real estate solutions.”

AIC highlighted that the TARI Estate, which broke ground in May 2024, is poised to become a key economic driver in the region, with its initial 200-hectare development expected to generate 60,000 jobs.

The integration of HI’s 184-hectare mixed-use property will complement TARI Estate's industrial focus, offering a broader range of opportunities for industrial, commercial, and business activities within the estate.

Strategically located in Central Luzon, TARI Estate benefits from the region’s robust economic development and growing infrastructure network, making it an ideal location for businesses and residents alike, the company noted.

Aboitiz InfraCapital and House of Investments emphasized that their collaboration aims to drive inclusive and sustainable progress in the Philippines.