THE Philippine property sector is likely to enjoy a robust performance ahead amid uncertainties about the next administration, said homegrown and international developers.
“You can just look at the history. The Cebu real estate sector and the housing sector have been growing especially in the last 12 years. It’s been very robust and booming… (and the sector) is quite isolated from political changes in the administration,” said Narciso. Taft Property is the property arm of the publicly-listed Metro Gaisano group, also known as the Metro Retail Sales Group (MRSG).
For international player Hongkong Land, Carew emphasized the healthy demographic and economic fundamentals of the Philippines, which bode well for the property sector.
“The demographic and economic trends in the Philippine are very obvious to everyone. (Although) we can’t exactly forecast what will happen with the next President, it shouldn’t affect the real estate sector so much,” Carew told journalists.
Carew and Narciso met with the press and Cebuano guests last Friday, April 29, for the soft launching of the 1,500-square-meter Mandani Bay show gallery in Mandaue City.
Taft Property and Hongkong Land have entered into a joint venture, HT Land, for a multi-billion-peso mixed-use development that took inspiration from waterfront attractions in other parts of the world like Victoria Bay in Hong Kong, Marina Bay in Singapore, and Manhattan in New York.
Mandani Bay will sprawl on a 20-hectare idle lot in the North Reclamation Area. The project, which will be implemented in eight phases, will have a total of 25 towers, where 80 percent will be for residential use. The rest will be for commercial and retail functions.
Narciso said it would take the company 10 to 20 years to finish the master plan. He assured that the synergy of both property players would not allow any compromises on the architectural design of the project.
Carew said Mandani Bay is the biggest venture of Hongkong Land in the Philippines yet. Hongkong Land has an existing partnership with Ayala Land Inc. called Roxas Land Corp., which is behind the Roxas Triangle Towers in Makati.
It also entered into joint ventures for horizontal housing projects with San Miguel, Metrobank, and BDO in Luzon for NorthPine Land, whose projects include Greenwoods Village, Wind Crest, Kahaya Place, and Forest Ridge in Luzon.
While the projection for the property sector is rosy, the officials expressed concern on the infrastructure challenge in the country.
“This is chronic nationwide. There is really the lack of adequate public infrastructure to support the booming private developments. In other Southeast Asian countries, the public utilities usually come in ahead of the private development. (In the Philippines), it’s the private sector that takes the lead and public infrastructure follows later on,” Narciso said.
With Mandani Bay, the developer envisions to shift perceptions of Mandaue City from that of an industrial and manufacturing hub to a desirable mixed-use and a premier lifestyle hub.
By JEANDIE O. GALOLO | Sun Star Cebu | May 02, 2016