September 17, 2024 | 12:00am
MANILA, Philippines — The industrial real estate unit of property giant Ayala Land Inc. is heating up its cold storage business as it looks to become a major player in the segment over the next five years.
Since entering the cold storage business in 2021, AyalaLand Logistics Holdings Corp. (ALLHC) has been ramping up the expansion of its cold storage footprint to address the growing demand for temperature-controlled facilities in the country.
ALLHC president and CEO Robert Lao told The STAR that the company aims to be one of the major players in the cold storage space in the next five years.
“We want to be a major player. We may not be the top because we’re catching up and there are other established players but hopefully in five years we will play a significant role,” Lao said.
Lao said the company would utilize Ayala Land’s expansive landbank to expand its portfolio.
By next year, ALLHC is targeting to double its cold storage capacity in support of the country’s cold chain sector.
“Right now, we have a lot of landbank. We’re using our existing Ayala Land landbank which is readily available to construct our facilities,” Lao said.
Lao said the ALLHC is expanding in the cold storage space given its growth potential that is supported by the country’s improving economy.
“There’s a lot of moving around of goods and food. Especially on the cold chain logistics side, the market is quite underserved so there’s an opportunity,” he said.
As the company positions as a major player in the cold storage space, ALLHC chairman and Ayala Land president and CEO Anna Ma. Margarita Bautista-Dy earlier said the company intends to achieve consistent double-digit growth for this business line in the next five years.
By becoming a major player in the industry, she said ALLHC would be able to contribute to the country’s goals of food security and potentially bring down food prices with improved distribution.
ALLHC is expanding its cold storage network with a new facility in Cebu slated for completion by the third quarter of next year.
The new facility called ALogis Artico Consolacion will add 6,000 pallet positions to ALLHC’s cold storage portfolio and will be the company’s second facility in the province of Cebu following the addition of ALogis Artico Mandaue in late 2022.
ALLHC recently opened its fourth cold storage facility, ALogis Artico Santo Tomas in Batangas.
ALLHC’s cold storage caters to diverse sectors, with its intended clientele varying from the frozen meat, seafood, pharmaceutical and chemical industries, among others.
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