AYALA LAND, Inc. is capping its new residential project launches at approximately P5 billion in 2026 as it concentrates on selling existing inventory, which stood at P99 billion — equivalent to roughly 15 months of supply — at the end of September.

Months of supply is a standard industry gauge that estimates how long current unsold stock would take to move at the prevailing sales pace, making the 15-month figure a snapshot of how heavily the market is stocked relative to demand.

The Zobel-led property developer, one of the Philippines' largest, said it is prioritizing inventory management and disciplined capital spending amid economic uncertainty. Capping launches slows the addition of new sellable inventory while the company works down its existing stock.

“Our gross sales take-up has remained relatively stable, notwithstanding the decline in our available inventory,” Ayala Land President and Chief Executive Officer Anna Margarita B. Dy said in a statement on Monday.

“This year, we deliberately chose to limit new launches to approximately P5 billion, prioritizing the sell-down of existing inventory. This was a conscious and intentional decision, reflecting our focus on inventory management and disciplined capital deployment.”

Premium Demand Drives Reservations

For the first nine months of 2026, the company recorded approximately P67 billion in residential sales reservations, according to its nine-month results briefing. Reservations, which track contracted sales booked during a period, are the standard demand gauge Philippine developers report alongside actual revenue.

Premium developments accounted for P46.2 billion, or 69%, of the total, while core residential projects contributed P20.7 billion.

Residential reservations reached P20.5 billion in the third quarter alone, with Ayala Land reporting continued demand for its premium developments despite elevated interest rates and broader economic uncertainty.

“Demand for premium products remains resilient, reflecting a clear focus on quality and value,” Chief Commercial Officer Mike Jugo said. “We are also seeing stronger interest from end-users, who are looking for the right location, the right product, and a community that can sustain its value over time.”

The company said residential reservations were concentrated in developments within its integrated townships — mixed-use estates that combine residential, office, retail, and hospitality components and feed both launch sales and the recurring income the company is prioritizing.

Earnings Decline

The inventory management strategy forms part of Ayala Land's broader priorities, which include expanding recurring income from its leasing and hospitality businesses and strengthening its balance sheet.

The developer reported attributable net income of P17.5 billion for the first nine months of 2026, down 18.2% from P21.4 billion in the same period last year. Third-quarter attributable net income reached P6 billion.

2027 Launch Pipeline

Ayala Land is preparing approximately P30 billion in potential residential project launches for 2027, primarily comprising horizontal developments outside Metro Manila. Horizontal products — house-and-lot and lot-only offerings — are landed formats that differ from the high-rise condominiums concentrated in the capital region.

“Looking ahead, we see pockets of opportunity in the market. We have a pipeline of approximately P30 billion in potential launches planned for 2027, which gives us the flexibility to respond to market conditions and capitalize on opportunities as they emerge,” Ms. Dy said.

The company also plans to introduce a horizontal residential development under its Avida brand, one of its core residential lines, within its Tarlac estate in November.

Unit Deliveries

Ayala Land turned over approximately 8,000 residential units during the first nine months of the year, it said. Turnovers are the point at which pre-sold units are handed to buyers and earlier reservations convert into completed sales, which is why developers track delivery pace alongside reservations.

An additional 5,000 units are scheduled for turnover by December, bringing planned deliveries to 13,000 units for the full year.

Projects handed over during the period included Park Central Towers in Makati and Gardencourt Residences in Arca South, while the Parklinks North Tower is scheduled for turnover before year-end, according to the company.

— Juliana Chloe A. Gonzales, BusinessWorld