Metropolitan Land seals IDR150 billion loans

JAKARTA: PT Metropolitan Land Tbk, a publicly-listed property company, sealed a IDR150 billion loan from PT Bank Mandiri Tbk to execute the second phase construction of Puri Metropolitan project.Such fund will be used to construct connecting road to Karang Tengah toll road, which is part of the project second phase construction, Metropolitan Land's Corporate Secretary Olivia Widjojo said.Puri Metropolitan project requires a toll road that will begin to be constructed at the end of this year. Such construction will run for one year to one and half year," she said when attending event entitled Indonesia Corporate Secretary Association yesterday.The company is also working on the construction of Metland Grand Mal, which needs one and half year and its expected to complete in 2013.Metropolitan is also seeking for IDR200 billion-IDR250 billion loans from Bank Mandiri to construct Metland Grand Mal.Both projects are of the companys seven projects, which are expected to complete in 2013.The company is the tenth company that listed its shares on Indonesia Stock Exchange where it raised IDR454.75 billion proceeds from initial public offering (IPO).About IDR200 billion of the proceeds was allocated for Metland Mal construction, IDR22.5 billion for M-Gold Residence construction near Metropolitan Mal, and IDR50 billion for expansion of Horison Hotel Bekasi.Meanwhile, the remaining IDR45 billion was placed in its subsidiary PT Sumber Sentosa Guna Lestari.The company used IDR40 billion proceeds to be injected as capital in another subsidiary, i.e. PT Fajar Putra Dinasti. It also put in IDR30 billion in PT Metropolitan Permata Development as new capital.Olivia estimates the companys sales during the first half of 2011 reaches IDR260 billion from housing project.Currently, the company is working on two projects in Menteng, Jakarta, and Cibitung, which provide the largest contributions to the company sales in the first half of 2011. The sales from Cibitung project reached IDR40 billion to IDR45 billion in February and March 2011.The houses are priced at the range of IDR70 million to IDR150 million per unit.PT Indosurya Asset Managements Analyst Reza Priyambada said business prospect is quite positive in line with economic growth. (T06/NOM)