MANILA, Philippines - ALLIED Banking Corp. is allotting a P500-million credit line for a home financing program of affiliate Eton Properties Philippines Inc. (EPPI). 

The amount will basically cover the financing needs of prospective buyers of Eton’s residential project in Ortigas.

In a joint press briefing Monday, Allied Bank president Reynaldo Maclang said the credit line will support Home 838, a housing-loan program that gives clients longer payment terms at a fixed rate of 8.38 percent, the lowest in the industry, so far.

“Unlike other financing plans, which offer as high as 11% for a 20-year term, ours is more affordable.  Home 838 allows clients to choose from low-down payment schemes – 10 percent or 20 percent and terms from 10, 15, to 20 years,” he explained. 

The balance is payable at 8.38-percent fixed interest rate for 10 years, and subject to repricing on the 11th year for longer-term arrangements. 

Maclang said there is a possibility to raise the credit line should there be bigger demand.  In the meantime, the financing program will be offered initially to buyers of the twin-tower Eton Emerald Lofts. 

A one-bedroom unit in Emerald Lofts costs P2.3 million. 

Allied Bank currently has a P5-billion housing loan portfolio.  The bank and Eton Properties are members of the Lucio Tan Group of Companies. 

Meanwhile, Eton properties also launched yesterday its fourth residential condominium project located in a property owned by Allied Bank in Legaspi Village, Makati City. 

The all-loft Eton Parkview Greenbelt is a 34-story condominium with 230 units. 

A one-bedroom unit will be sold at P3.6 million while a two-bedroom unit goes for P6.5 million. 

Eton Properties president Danilo Ignacio said the project, scheduled for turnover by December 2011, will target working professionals in the Makati business district. 

Also, EPPI has started marketing abroad Belton Square, a mixed-use project in Malugay Street near Pasing Tamo in Makati. 

“The property is also owned by the Lucio Tan Group.  We will demolish a two-story building presently there and we are now in talks with Asia Brewer for the warehouse it owns at the back,” said Ignacio.

[Business Mirror]