CEBU, Philippines – Singapore-based serviced residence operator Ascott Ltd. has entered the Visayas market with its partnership with a Cebu real estate firm to develop Citadines Cebu City.
Jose Soberano III, president and CEO of Cebu Landmasters Inc. (CLI), said the development will be a major part of the firm's Base Line Center project, a one-hectare mixed-used complex located in the city's midtown. This is going to be CLI's first project with a hotel component, he said.
Chief Operating Officer Jose Franco Soberano said the Center, set to become an integrated project locating residential, commercial and retail spaces, will be built in two phases. The phase one, which includes the Citadines and a housing project, is estimated to cost some P3 billion. CLI is scheduled to start the phase one by November this year and will be completed in three years.
Arthur Gindap, Ascott's regional general manager for Philippines and Thailand, said the company has long been looking at Cebu as its growth area. "Cebu has always been top on our list in expanding outside Manila," Gindap said.
Ascott and CLI formally signed an agreement last Thursday for the former to manage the 180-room serviced apartment Citadines Cebu City. The project will be Ascott's eighth property in the country.
Gindap said serviced residences which cater to long staying guests is especially needed in Cebu considering that business travelers and tourists are increasing in the city. Gindap added Cebu has a strong presence of expatriates and a steady influx of tourists and investors.
The executive also noted the Singaporean company is looking to expand in key cities where expat communities are growing such as Iloilo, Davao and Bacolod.
Ascott – which operates three serviced apartment brands namely Ascott, Somerset and Citadines – is a subsidiary of CapitalLand, one of Asia's largest real estate companies.