Retail assets in focus as RCR expands portfolio

RL COMMERCIAL REIT, Inc. (RCR), the real estate investment trust of Robinsons Land Corp. (RLC), said mall assets are currently a focus for potential future portfolio infusions, citing stronger revenue opportunities from retail properties as consumer traffic continues to improve.

“The focus really is on the malls right now. Even from a market perspective, you will see that the fixed rent, percentage-of-sales leases, and improved foot traffic in our malls present a very beautiful upside in terms of revenue,” RCR President and Chief Executive Officer Jericho P. Go said during the company’s media briefing on May 13.

“And because we still have a substantial amount of mall assets in terms of scale, I think that is a very good focus for the portfolio,” he added.

RCR’s portfolio reached 38 assets by end-2025 after the addition of nine mall properties from parent Robinsons Land Corp. through a tax-free property-for-share swap.

The transaction increased gross leasable area (GLA) to 1.15 million square meters (sq.m.), about 2.7 times its size at listing.

Mr. Go said the company may also consider other asset classes in the future, depending on market conditions.

Malls accounted for 53% of RCR’s total gross leasable area, while office assets made up 47%.

RCR’s portfolio now consists of 38 assets, comprising 21 malls and 17 office properties across 25 locations nationwide.

The company said in an earlier disclosure that it is positioned to further expand its portfolio through potential asset infusions from sponsor RLC, which include more than 1.7 million sq.m. of combined mall, office, and logistics GLA, as well as about 4,000 hotel room keys.

RCR added that it remains open to acquiring third-party assets as part of its long-term growth strategy.

For the first quarter, RCR’s net income rose 41% to P2.4 billion, excluding fair value adjustments, driven by the 2025 asset infusions and sustained occupancy of 96%.

Unaudited January-to-March revenue reached P3.4 billion, up 51% from the same period last year, excluding changes in the fair value of investment properties. — Alexandria Grace C. Magno