CEBU, Philippines — Cebu City Mayor Edgardo Labella has announced that the city will no longer sell lots at the South Road Properties (SRP) as it would prefer joint development with investors – at least, while he is mayor.
“Under our admin, we do not intend to sell lots anymore,” Labella said.
The benefit of a joint venture agreement (JVA), he said, is that the city will get to retain ownership of the property, at the same time, get a share of the income while the lot is with the private developer.
Just recently, Singapore-based company, The Harbour Group, expressed interest to develop a portion of the SRP. The firm sent its proposal for a public-private partnership (PPP) to Labella last September 30, 2019.
In its letter, The Harbour Group Singapore said it plans to build infrastructure like real estate, a casino, a commercial shopping center, and a resort at the SRP.
“We have to ask for their proposal and submit it to the Joint Venture Selection Committee (JVSC),” Labella said.
“We know that it’s true, there are many who are interested… we even also have European companies interested to put up some kind of development in SRP… there is also Megawide,” he added.
But developments need not be all joint ventures as there may be companies that want to just rent lots at the SRP.
“Not necessary, but there might be some who wants to rent properties… it will be received and studied,” the mayor said.
In 2015, during the term of then mayor Michael Rama, the city sold 26.3 hectares of lots at SRP to the consortium of Ayala Land, Cebu Holdings Inc., and SM Prime Holdings at P10.009 billion.
It also sold 19.2 hectares to Filinvest Land, Inc. at P6.7 billion. JMO (FREEMAN)