Filinvest’s P16B Ciudad project, a game changer for Cebu’s economic growth

CEBU CITY – The Cebu Provincial government turned over 1.2-hectare property to Filinvest Land, Inc. (FLI), a homegrown developer through a build-transfer-operate (BTO) engagement for the P16-Billion development of Ciudad project that is a game changer for Cebu’s economic growth and development.

Cebu Gov. Gwendolyn Garcia and Tristan Las Marias, FLI president and CEO, formally kicked off the project in simple ceremonies onsite March 22 in Apas, northeast of Cebu IT Park and along Gov. Cuenco Ave., marking the new chapter in their long-standing partnership.

Garcia bared that the P16 billion project has the prior approval of the Cebu Provincial Economic Enterprise Council that studied the unsolicited proposal to construct high-end residential and commercial towers on the Ciudad property.

The Governor commented on Filinvest to endure the challenging negotiations with provincial officials that led to the signing of an updated agreement in January this year, reflecting significant changes in the property market since the deal was made in 2006.

This is Filinvest Land’s second public-private partnership (PPP) with the Province of Cebu after Filinvest Cyberzone located on the opposite southwestern side of Cebu IT Park along W. Geonzon St. and Salinas Drive.

"This upgraded agreement is more than just a business transaction. It signifies FLI's unwavering dedication to Cebu, where we accredit our pedigree of success.  The company’s founders Andrew and Mercedita Gotianun established their roots in Cebu where we are committed to being a long-term partner in Cebu's growth, not just by developing world-class properties,” Las Marias said, in his message.

Las Marias added that the 1.2-hectare Ciudad parcel is a prime example of FLI's placemaking expertise to create a vibrant ecosystem that fosters innovation and collaboration, creating spaces that empower businesses and communities to thrive. 

The modern office spaces will cater to Cebu's robust BPO sector and traditional businesses, while the business hotel will provide excellent accommodation for visiting professionals from all over the world.

                 Benefits of the Ciudad property development

“This project will be a catalyst for economic activity, generating jobs and attracting new investments to the province,” Las Marias pointed out.

Under the amended agreement, Filinvest will rent the whole property from P35.55 per sqm/month that was set in 2006 to P65, roughly P780,000 per month with a five percent   escalation starting from the 6th year after turnover.

According to Filinvest’s press statement, the province is primed to receive a two percent share of gross sales from project developments, or a minimum of P200,000 per month, whichever is higher.

“This updated agreement ensures Cebu receives a fair share of the economic benefits generated from Ciudad.  The increased lease rate and sales percentage share will provide the province with much needed resources to further invest in infrastructure and social programs for our people. This is a significant step towards progress, and we are glad to have chosen our long-time partner and proudly one of Cebu’s own, Filinvest Land, to be at its forefront,” Garcia noted.

Darwin John Moises, vice president of the Cebu IT & Business Process Management Organization (CIB.O) echoed the positive outlook for the project.  The construction of this modern office space is a major development for Cebu's BPO industry.

“It will provide much-needed space for existing companies to expand and will attract new players to the trailblazing region. This project aligns perfectly with CIB.O's vision of Cebu becoming a global leader in the BPM sector and we are thrilled to see Filinvest Land contributing to this advocacy," Moises said.

Since its first residential subdivision in Cebu in the 1960s, the Filinvest Group has expanded its development footprint in the province to include residential condominiums, office hubs, hospitality, and leisure developments.  City di Mare, a master-planned township at South Road Properties is home to the Sinulog Festival that seals its stature as Cebu City’s preferred lifestyle events destination. (Photos: Filinvest-FB/Google Images)