Sunday, April 11, 2010

Cebu City in talks to construct fast-ferry port, sports facility in SRP

Written by Wilfredo Rodolfo III / Reporter
Monday, 12 April 2010 23:56

THE Cebu City government is in the advanced stages of negotiations to build a fast-ferry port and a water- sports recreation facility on the 240-hectare reclaimed South Road Properties (SRP).

Cebu Investment Promotions Center (CIPC) managing director Joel Mari Yu said the two developments are set to start soon, coinciding with separate wholesale developments being undertaken by the Filinvest and SM groups on the reclaimed property.

“We cannot reveal the names of the developers, but we are talking to them right now,” Yu said.

The CIPC is a nonprofit organization subsidized by the city and provincial governments to market investment opportunities in the city, as well as serve as a one-stop assistance center for investors and businessmen.

The water-sport facility will occupy one side of the unfilled portion of the SRP, called Pond A. It is a 60-hectare lake left unfilled after legal troubles hounded the project in the mid-1990s.

Yu said the facility will take up 15 hectares on one side of the lake.

Work is also set to start on a fast-ferry terminal at the former Kawit island, now the cornerstone development of the whole SRP. Fast-ferry operator Ocean Jet is set to launch their ferries from SRP to Tagbilaran City in Bohol and Dumaguete City in Oriental Negros.

Completed in 2001, the SRP was built with a ¥12-billion loan obtained by the city from the Japan Bank of International Cooperation (JBIC). The loan is payable until 2020.

Joint-venture deals with Filinvest (52 hectares) and SM (32 hectares) are now generating an estimated P1 billion in amortizations for the city. The amount covers almost half of the P2-billion annual operating budget of Cebu City.

After signing the latest deal with SM, Mayor Tomas Osmeña announced the city will double the lot prices at SRP.