CLI UNVEILS NEW HOUSING PROJECT IN BOHOL
Cebu Landmasters Inc. (CLI) recently introduced its new project named Velmiro Greens located in Dauis, Bohol. The PHP900 million (USD17.6 million) horizontal (house and lot) project features 204 units with sizes ranging from 60 to 100 sq metres (646 sq feet to 1,080 sq feet) priced from PHP1.7 million to PHP4 million (USD33,300 to USD78,400) per unit. The 3.6 hectare (8.9 acres) mid-market development offers townhouses and single-detached units. It also includes amenities such as a swimming pool, gym, basketball court, and function rooms.
As land values continue to surge in areas such as Cebu, developers are now considering neighboring provinces to capture the demand from residential end-users and investors in Central Visayas. Developers such as Cebu Landmasters, Inc. (CLI) and Vista Land have already started to expand in the province with the development of Velmiro Greens in Dauis and Camella Bohol in Tagbilaran City . Aside from relatively lower land values, we see the expanded Bohol-Panglao International Airport spurring economic activities in the province which will likely attract developers and investors. We recommend developers to take advantage of this by acquiring available land in strategic locations around the Bohol-Panglao Airport, such as Tagbilaran City and Dauis, that can be developed into new integrated communities.
CEBU LANDMASTERS RAISES P8 BILLION FOR PROPERTY DEVELOPMENT
Cebu Landmasters, Inc. (CLI) has raised PHP8 billion (USD156.9 million) to fund its land acquisitions and further development of its existing projects. The proceeds were generated from the issuance of corporate notes. The provinces that the company is eyeing for land banking include Cebu, Bacolod, Bohol, Cagayan de Oro, and Davao. The developer also plans to further expand in Puerto Princesa, Leyte, Butuan, and General Santos City. The remaining proceeds will likely be allocated for their 22-hectare (54.4 acres) township in Matina, Davao. Moving forward, Chief Executive Officer Jose R. Soberano III mentioned that the company intends to launch 27 new projects within 24 months.
Further development of land in regions such as Central and Western Visayas, Davao, and Northern Mindanao is in line with the current administration’s goal to generate further growth outside of Metro Manila. According to the Philippine Statistics Authority (PSA), from 2016 to 2018 the annual Gross Regional Domestic Product (GRDP) growth of Western and Central Visayas was 6.9% and 7.1% respectively. On the other hand, Northern Mindanao and Davao Region grew by 6.8% and 9.6% in the same period. We believe land banking in these areas is a good initiative for developers as the sustained economic growth would likely drive the demand for property projects. Moving forward, Colliers recommends developers to eye other alternative locations ripe for development in order to secure first-mover advantage.
DUSIT THANI MACTAN UNVEILED
Robinsons Land Corp. (RLC) has officially opened the Dusit Thani Mactan Cebu in Lapu-Lapu City. The 5-star hotel consists of 272 rooms with 8 room types. The hotel also has event facilities that can accommodate meetings, incentives, conferences and exhibitions (MICE) activities. Aside from its spacious rooms, Dusit Thani Mactan Cebu also offers amenities such as a fitness gym, spa, and an indoor playground for children.
Cebu is one of the major tourist destinations in the country and this entices developers to build more accommodation facilities such as hotels and resort-oriented condominium projects. Over the past few years, Cebu has benefited from higher arrivals from the country’s major source markets such as South Korea, United States, and China. Estimates from the Chinese consulate in Cebu show that about 700,000 Chinese tourists visited the Central Visayas region in 2019. Colliers sees the travel ban due to the novel coronavirus 2019 (COVID-19) affecting tourist arrivals in the region and in Cebu. This is likely to result in a lower hotel occupancy in Cebu in Q1 2020 from 78% in Q1 2019. Colliers recommends that hotel operators and other tourism establishments enhance their marketing efforts and target domestic tourists by offering cheaper flights and hotel accommodation.