GT Capital Holdings, Inc. The property arm of Federal Land, Inc. (FLI), and its subsidiary Horizon Land Property Development Corporation sold their combined 52% stake in Crown Central Properties Corporation to Crown Equities, Inc. (CEI) for a total of P73.48 million.
In a disclosure to the stock exchange on Wednesday, CEI said it acquired 62.5 million common shares from Federal Land, worth P68.12 million, and 5 million common shares from Horizon Land, worth P5.37 million. The acquisition was approved by CEI's board on December 16 and is subject to agreed closing terms and conditions.
Following the transaction, Crown Equities now owns 100% of Crown Central Properties, which was previously a joint venture between Crown Equities and FLI Group. The company develops residential and commercial projects.
Crown Central was originally established in 1996 as a joint venture between Crown Equities and Solid Share Holdings – now Federal Land – with the aim of developing the Palma Real residential estate in Biñan, Laguna. In 2003, it signed a memorandum of understanding with Sta. Lucia Realty & Development, Inc., under which Crown Central contributed the land and initial improvements, while Sta. Lucia completed development of the subdivision.
Globelinx Securities & Stocks, Inc. Toby Allen C. Arce, head of sales trading at , described Federal Land's exit as a strategic capital-recycling move rather than a defensive withdrawal, aimed at strengthening the company's position in a disciplined, opportunity-focused real estate market.
“Crown Central has been largely associated with mixed-use or mall-focused developments, and this divestment shows that Federal Land is reevaluating how its capital and management focus can generate the strongest long-term returns,” he said.
He said that, given Federal Land's extensive exposure to residential, office, hospitality and large-scale mixed-use projects, the exit is unlikely to have any impact on its overall growth trajectory. “Instead, it reflects the strategic pruning of non-core or lower-priority assets amid a more selective property market environment,” he said.
Mr Arce said the divestiture could free up capital and simplify the group's structure, allowing Federal Land to redirect resources to projects with clear demand, stronger margins and better long-term potential.
“The transaction also opens up new strategic opportunities. Federal Land can redeploy the proceeds into land banking in development corridors, partnerships with international hotels or lifestyle brands, or even diversification into logistics, data centers, or infrastructure-adjacent real estate – areas that are garnering interest from investors and tenants,” he said.
In October, FLI President José Mari H. Banzón said that the company had completed its project launches for 2025 and was preparing several new residential developments for 2026. These include the 21-hectare horizontal project in Biñan, Laguna as a sequel to the Meadowcrest community and Phase 3 of the Grand Hyatt Residences in Bonifacio Global City following the successful sale of the first two phases. According to the company, a two-tower project near The Seasons Residences is also being built, while development in Marikina and the Bay Area is on hold until market conditions improve.
Federal Land GT Capital Holdings, Inc. Ltd., a diversified conglomerate with interests in automotive, banking and real estate.
On Wednesday, GT Capital shares closed at P575, down 50 centavos or 0.09% on the local stock exchange. -Alexandria Grace C. Magno
