Cebu province turns over 1.2-hectate property for development
The development of Ciudad will finally be realized after the Province of Cebu turned over Friday a parcel of the property to homegrown developer Filinvest Land, Inc. (FLI) through a build-transfer-operate (BTO) engagement.
Cebu Gov. Gwendolyn Garcia and Tristan Las Marias, FLI president and CEO, formally kicked off the project in simple ceremonies onsite on March 22, 2024 in Apas, this city, northeast of Cebu IT Park and along Gov. Cuenco Ave., that marks a new chapter in their longstanding partnership.
In her speech, Garcia said the P16 billion project has the prior approval of the Cebu Provincial Economic Enterprise Council that studied the unsolicited proposal to construct high-end residential and commercial towers on the Ciudad property.
She commended Filinvest for enduring the challenging negotiations with provincial officials that led to them signing an updated agreement in January this year, reflecting significant changes in the property market since the deal was made in 2006.
This is Filinvest Land’s second public-private partnership (PPP) with the province after Filinvest Cyberzone located on the opposite southwestern side of Cebu IT Park along W. Geonzon St. and Salinas Drive.
“This upgraded agreement is more than just a business transaction. It signifies FLI’s unwavering dedication to Cebu, where we accredit our pedigree of success,” said Las Marias in his message.
He noted that the company’s founders Andrew and Mercedita Gotianun established their roots in Cebu where “we are committed to being a long-term partner in Cebu’s growth, not just by developing world-class properties.”
Las Marias said the 1.2-hectare Ciudad parcel will be a prime example of FLI’s placemaking expertise that would create a vibrant ecosystem that fosters innovation and collaboration, creating spaces that “empower businesses and communities to thrive.”
He said the modern office spaces will cater to Cebu’s robust BPO sector and traditional businesses, while the business hotel will provide excellent accommodation for visiting professionals from all over the world.
“This project will be a catalyst for economic activity, generating jobs and attracting new investments to the province,” he pointed out.
Under the amended agreement, Filinvest will rent the whole property from P35.55 per square meter per month that was set in 2006 to P65, roughly P780,000 per month, with a 5 percent escalation starting from the 6th year after turnover.
Turnover. Cebu provincial officials led by Gov. Gwendolyn Garcia and of Filinvest Land, Inc. led by Tristan Las Marias, president and CEO, grace the ceremonial turnover of the Ciudad parcel for development into a mixed-use IT park. (Accompanying photos show the initial artist’s perspectives of the project.)
Additionally, the province is primed to receive a two percent share of gross sales from project developments, or a minimum of P200,000 per month, whichever is higher, according to a company press release.
“This updated agreement ensures Cebu receives a fair share of the economic benefits generated from Ciudad,” said Gov. Garcia.
“The increased lease rate and sales percentage share will provide the province with much-needed resources to further invest in infrastructure and social programs for our people,” she added.
“This is a significant step towards progress, and we are glad to have chosen our long-time partner and proudly one of Cebu’s own, Filinvest Land, to be at its forefront,” she further said.
Darwin John Moises, vice president of the Cebu IT & Business Process Management Organization (CIB.O), echoed the positive outlook for the project.
“The construction of this modern office space is a major development for Cebu’s BPO industry. It will provide much-needed space for existing companies to expand and will attract new players to the trailblazing region,” he said.
“This project aligns perfectly with CIB.O’s vision of Cebu becoming a global leader in the BPM sector, and we are thrilled to see Filinvest Land contributing to this advocacy,” he added.
Since its first residential subdivision in Cebu in the 1960s, the Filinvest Group has expanded its development footprint in the province to include residential condominiums, office hubs, hospitality, and leisure developments.
City di Mare, a master-planned township at South Road Properties is home to the Sinulog Festival that seals its stature as Cebu City’s preferred lifestyle events destination.