December 4, 2010
CEBU CITY, Philippines – The city government of Cebu will soon be bidding out 10 smaller lots of 2,000 to 3,000 square meters within the 300-hectare South Road Properties (SRP), even as it also said it will postpone the selling of bigger chunks of land inside the reclaimed lot.
Joel Mari Yu, Managing Director of the Cebu Investments and Promotions Center, the city government’s marketing arm said the city expects to get a minimum retail price of P30,000 per square meter for these smaller parcels of land, which will be sold for strictly commercial development.
Yu estimated that the city government is set to generate an additional P1 billion in revenues once it is able to bid out these ten lots.
The lots up for sale are located between the developments of SM Prime Holdings and Filinvest Land Inc.
According to Yu, the city government will delay the selling of larger scale lots at the SRP until after SM and Filinvest begin developing their projects there, which will comprise of integrated facilities including hotels, condominiums, and a huge mall, among others.
SM intends to groundbreak its second mall in Cebu within the SRP by February 15, 2011, allocating 250,000 square meters for a shopping mall development, which, once finished, is seen to be one of the 10 largest malls in the world.
“The city is not selling any more properties at the SRP until the price for the property goes up. We have enough money to meet our cash flow needs for the next five years,” Yu explained.
Otherwise, he said if the city government continues to sell lots now, “it will be selling at prices lower than in two or three years from now.”
Yu indicated that the development plans of SM Prime will be something that will further boost Cebu as a leisure destination in Asia.
“We are looking at duplicating in Cebu what we have done in Manila,” SM Prime Holdings President Hans Sy earlier said, noting that the company’s property at the SRP, which boasts of a view of the sea, “is one of the best locations” they have purchased.