Realty biz more lucrative than restaurant ventures

The good prospects for real estate in Cebu, especially in tourism-related projects, has prompted restaurateur Efrain Pelaez to invest more in real estate business, rather than expanding more restaurant outlets.

"In boom times, real estate can do much better, it provides faster [investment] returns with less hassles," said Pelaez who is the part-owner of several restaurants and food joints in Cebu, including Japanese restaurant Mikado, Grand Majestic, Café de France, among others.

However, he said the restaurant operation is a more sustainable business, as it could withstand both good and bad times.

Now, that Cebu's real estate industry is on the upswing, Pelaez said he has to take advantage of the situation, and utilize his idle properties especially those that are located in Mactan, and neighboring islands such as in Olanggo.

Pelaez's firm Coral Point Development Corporation, recently unveiled the Coral Point Condominium at Punta Engaño, and soon the company will start the construction of Gold Point Resort, a four-hectare property to be developed as a major hotel and spa facility in Santa Rosa, Olanggo Island.

Pelaez, who heads the Lapu-Lapu and Cordova Chamber of Commerce and Industry, said if it were not of the un-friendly business environment of Lapu-Lapu, there would have been a number of good tourism-related projects which supposedly been invested by both local and foreign capitalists.

Thus, he said the business core in Mactan now, has made brave efforts to fight corruption in the local government unit (LGU) levels to protect existing businesses, as well as invite more investors to the Island, especially that Cebu needs the robust development of Mactan, because it is its prime tourism attraction.

According to Pelaez, if it were not for the very difficult business environment in Mactan, a lot of businesses or new developments may had been invested in the last few years.

"We intend to insure that business friendly and ethical standards are applied and maintained in all business transactions, to eliminate unnecessary red tape and counter productive activities and requirements, especially those that are meant to delay or stymie growth and business development or simply encourage graft and corruption," he said.

He added that his company, may introduce for real estate related projects in Mactan, as well as Cebu in the future, utilizing the idle properties owned by his family.

Pelaez added that there are a lot of good sites for investments in Mactan Island, but as this point in time, investors are hesitant to put in their money because of magnified corruption practice.