Developer invests P2 billion for Mactan township project

CEBU, Philippines - The favorable economic climate of Cebu's Mactan Island has prompted a real estate developer to invest P2 billion for a township project in the locality.

The rising business process outsourcing operations and the recent developments in the island are seen to boost the property market.

Michele Chiu, sales and marketing manager of Johndorf Ventures Corporation, said the on-going rehabilitation of Mactan Cebu International Airport and the planned construction of Cebu's third bridge are factors that would increase economic activities.

The property firm is investing in a township project (a merge of its properties) in barangays Babag and Calawisan in Lapu-Lapu City. It is spending about P2 billion to develop the Johndorf Communities project in the next five years.

It will also develop a commercial center where different business establishments will be located.

Chiu said the 18-hectare township would integrate six developments, two of which have already been completed.

Housing backlog

The company wants to invest more in horizontal projects such as townhouses and economic housing to address the huge housing backlog in the Philippine real estate sector, she explained.

The Subdivision and Housing Developers Association has estimated the current national housing backlog at over 3.9 million units.

The association has already called on for government support to address the backlog which, if not solved, is projected to rise at 6.5 million by 2030.

Colliers International Philippines said more horizontal developments are seen especially on economic and mass housing.

Chiu shared the firm's three-hectare Astana townhouse project in the township is aimed at raising its investment portfolio in housing properties.

JVC also has projects in Cagayan de Oro and Davao City.

In a statement, JVC president and CEO Richard Lim said the elements of lucrative property investment are already present in Mactan, considering its rising economy.

BPO and IT workers, young professionals and entrepreneurs account a significant share in the property market investment. (FREEMAN)