On the sidelines of the firm’s annual stockholders’ meeting on Friday, Arthaland President Angela De Villa-Lacson told the Manila Times that the upcoming Cebu office project is a 60-40 joint venture with Asian real estate firm Arch Capital Management Company Limited.
Arthaland owns a majority stake in Arch Capital.
Last December, Arthaland said it bought two adjacent parcels of land measuring 8,440 square meters along Salinas Drive in Cebu City, right across the Cebu IT Park.
During the firm’s stockholders’ meeting, Lacson told shareholders the design of the Cebu office building was in the works.
“We’re currently completing the design, and the target is to construct 110,000 sqm of floor area, of which 88,000 square meters… will generate P11.5 billion in gross revenue,” Lacson noted.
The firm plans to launch the project later this year and is expected to be completed in 2020.
“We have expressions of interest for approximately 30 percent of the revenue projected and we haven’t even launched,” Lacson told shareholders.
“I’ve been bullish about it for a couple of years already,” Lacson said. “In Visayas, Mindanao, Cebu is considered as the CBD of the region. A lot of businessmen from the outlying islands come to Cebu to transact their business, then go home.
“So there is room for temporary housing, residences. There is room for office space, since there are a lot of international firms coming in. So there are quite a lot positive developments in Cebu, that’s why we’re excited about it,” Lacson added.
But Arthaland isn’t that excited to go into residential development.
“There are… a lot of local and even national developers already in Cebu, and I feel that it’s a little bit crowded at the moment,” Lacson said.
by Catherine Talavera | The Manila Times | June 25, 2016