In a speech during DWC’s annual stockholders’ meeting on June 24, president Jun Parreño said the company planned to tweak its accounting method on the valuation of its land assets in the second quarter of 2021.
DWC currently books its land assets at cost or acquisition value and it plans to shift to tap a third-party appraiser to peg the fair value of these properties based on location characteristics, size, time element, quality and marketability.
DWC estimated that its lands would be appraised at P7.66 billion which would yield P6.06 billion in revaluation gains or net gain of P4.54 billion minus liabilities and tax provisions.
Parreño said DWC was advised its current accounting method did not reflect the full value of its property investments.
“With the upcoming change, the true equity position of the Company will now be used moving forward. This will benefit you, our dear stockholders, as we negotiate deals with potential investors and our partner banks in raising more funds for the expansion projects we have in the pipeline,” said Parreño.
DWC boasts of one of the best portfolios of the most jaw-dropping tourist destinations in the country:
* Discovery Shores’ 1.5-hectare property in Boracay, including one hectare in the island’s beachfront, Boat Station 1;
* Euro-Pacific Resorts’ Coron, Palawan properties covering 46 hectares;
* Cay Islands’ 5.4-hectare property in El Nido, Palawan;
* Palawan Cove’s 56-hectare property in Boayan, the largest island in San Vicente Palawan;
* Sonoran’s 5.8-hectare mountain top real estate in La Trinidad, Benguet;
* Long Beach Property Holdings’ 3.8-hectare property in San Vicente, Palawan which boasts of the longest white beach in the country (14 kilometers);
* Lucky Cloud 9 Resort’s 2.6-hectare property in Siargao, Surigao del Norte; and
* Balay Holdings’ 11.2-hectare land in El Nido, .5-hectare property in Siargao, and 6.8-hectare land in San Vicente.