Federal Land shelves plan to set up resort in Mactan

CEBU, Philippines - The plan of Metrobank Group’s real estate arm Federal Land Inc. to put up a resort facility in Mactan Island is put on hold as negotiations of a possible partner failed.

In an interview with Metrobank Group chairman Antonio Abacan Jr.,  he said although the group still has interest to expand its tourism related business in Cebu after the success of Marco Polo Plaza, the focus now is being put into building a residential condominium at the 10-hectare property in Nivel Hills.

Earlier, Abacan said that the group was offered a 10-hectare shoreline property located in Punta Engaño , Mactan Island and another 12-hectare property also in Mactan, but these negotiations were not successful. However, he said the group is open for the possibility of establishing a complimentary resort facility for Marco Polo Plaza.

Aside from the group’s active participation in the booming real estate sector in Cebu, through building residential high rise towers and residential condominium within the Maro Polo Plaza complex, the Group is also putting more investments in the power sector, initially through its partnership with the Aboitiz Group, the Cebu Energy Development Corporation (CEDC), which is now providing 246-MW power capacity for Cebu.

The group’s power generation arm Global Business Power Corporation also expanded its capacity, as it rehabilitated the Toledo power plant with a current capacity of 60 MW.

The company will build another 82-MW capacity while putting the 60-MW on standby.

The plan of establishing a resort facility in Cebu is to take advantage of the tourism potential of the province and Abacan reiterated that the Group is constantly looking at possibilities to pursue this plan.

Abacan said Marco Polo Plaza Cebu needs to have a complimentary facility to complete its service in providing business guests, leisure activities, maximizing the wealth of Cebu in beach—the sun, sand and sea attractions.

Federal Land Inc. is currently developing two high-rise condominium towers in Nivel Hills, offering a total of over 500 residential condominium units, through the project called “Marco Polo Residences.”

The company is investing about P1 billion for its first residential condominium project in Cebu.

So far, the take out rate of the residential condominium in Cebu is encouraging. However, the company is still on its careful assessment in pursuing major real estate related projects, despite the active stance of real estate giants that entered the dynamic real estate sector in Cebu.

“We are still a new entrant in the real estate sector here. We are putting it in place, and cautious and studying where the market is going. So far, Cebu is registering encouraging growth in all our businesses,” he said.

Aside from its growing 36 Metrobank branches all over Cebu and 12 Philippine Savings branches, the company has also put sizeable investments in different industries such as tourism, real estate and the power sector. /JMD (FREEMAN)