North and South Districts' economic balance

I write this article in the hope that the current razz-ma-tazz on the south reclamation project will not create an undesirable imbalance in the development between the north and south districts of Cebu City. In this thrust, I assume two things, namely: that (1) the Cebu City government will focus its attention on the development of the South Road Properties and (2) that in order for the north district not be left behind, the private owners of the Cebu Business Park have to lead the way and must explore all means to keep its competitiveness with any locator at the SRP.

There is no doubt that the city government will strike the iron while it has found it to be hot. I had to murder the old adage of striking while the iron is hot to be accurate. The SRP, for reasons unknown to us, was in the doldrums since its reported completion years ago. This was obvious in the failure of the city to attract locators for some time.

Recently however, some parties have shown interests in investing at the SRP. Suddenly, this is getting to be a hot property. So, while it is hot, the city government has to make sure that these future locators will push thru with their investment plans. It will spend money there. It has to. Infra structure like wide roads and serviceable drainage will be put up to the point of customizing these to suit the needs of the investors at the reclaimed land. Police, health care, garbage collection among the more basic services that the city is required to provide have to be increased. These mounting expenditures for the south district will, in all probability, affect the budgetary allocations for the same kind of services intended for the north district.

The attention that the city will give to the SRP is going to be a boost to the locators there. Take the case of the Filinvest Land Inc. Reports say that it has offered to develop 50 hectares. Immediately, it has an advantage. For many businesses, size is. If true, this size will be bigger than the Cebu Business Part which has just about 44 hectares. Can you imagine the environment when an entity starts developing from a vast tract of open land? Just consider that it can put in place all ingredients of a modern complex without being hindered by existing structure within the vicinity, and you will see what I mean.

Meantime, while everything will seem abuzz in the south, the north district must not lie low. Neither can it afford to stand still. Since the apparent flagship of this district’s commerce is the Cebu Business Park, it can not afford to be less aggressive. That as the site of a high end kind of a mall and a number of business establishments, it pulls business to the north area, its competitive edge stands to be blunted the moment an SRP mall opens business. It has to find ways to expand, even as we all see that there are many parts of the former Club Filipino golf course that are ready to absorb further development,

Where can it extend its area? Barangays Hipodromo, Luz and Mabolo surround, in part, the business park. Any of these communities, can be utilized for its expansion specially Hipodromo because it creates a large frontage at M.J. Cuenco Avenue.

How? It must first recognize that its intended high-end subdivision in the mountains is not a tremendous success. Judging from the absence of any appreciable number of homes erected at Pung-ol Sibugay, it seems unable to reach its market. There have been no takers there for reasons, I believe, they must know.

This project may now be traded-off and offered to inhabitants near the business park. For the affected residents to bite the offer, the company must appear to be generous in providing a more breezy atmosphere, cutting comparably bigger lot sizes for individual homes, building better and more beautiful houses, establishing recreational parks and covered courts, setting up school sites and dangling some cash incentives. And, perhaps, more.

I am sure that the bright boys of the company can conceptualize a better idea that this largely rough thought but whatever it is that can generate further business activity in the north while the city flexes its muscles for the development of the south Road Properties, will keep the balance of growth between these two districts.