More than P300 billion development at the South Road Properties (SRP) in Cebu City will soon rise after the consortium of SM Prime Holdings Inc. and Ayala Land-Cebu Holdings Inc., broke ground, Wednesday, January 29, 2020.
Cebu City Mayor Edgar Labella along with other city officials including Vice Mayor Michael Rama, Councilors Dondon Hontiveros, Dave Tumulak, Junjun Osmeña, Raymond Garcia, Joel Garganera and Jerry Guardo attended the grounbreaking ceremony of the project.
In his speech during the opening, Mayor Labella emphasized that everyone should be grateful to the people who supported the project, including the three previous opposition councilors, who supported the move.
In 2015, the City Government under the administration of former mayor Rama sold 45.2 hectares of the SRP lot at P16.7 billion to the consortium for a 26.3-hectare property.
Mayor Labella, who was then vice mayor at that time, was the presiding officer in the City Council.
“We were actually outnumbered that time. The opposition was the majority. But there were well-meaning members of the City Council who set aside partisan posturings because they believe in the project and I call them, the unsung heroes, aside of course, from the other members of the City Council,” the mayor said.
“Now, we look backward and forward. We look backward with overflowing gratitude to these people and we look forward with great hope and exciting expectation for this project, that will pour in P316 billion investment and will generate two million direct and indirect jobs for the city,” he added.
Once completed, a convention center with 16,000 seating capacity and a one-hectare park, among other commercial and residential spaces, will rise in the area.
The project is projected to contribute P22 billion to the City Government as payment for permits, taxes and other regulatory fees alone.
The development in the SRP is among the 10 key points that Mayor Labella wants to improve during his term.
“It is one of the thrust of our administration that we should decrease the poverty level in the City of Cebu. It is a sad reality that up until now, after so many years, our country including this city, is facing a very serious political and social imbalance. Too many have too little while too few have too much of the good things in life and I sincerely believe that with the two million jobs generated, it will improve the lives of our people,” Mayor Labella said
The project will be composed of 70 percent commercial development and 30 percent for residential.
Of the two million direct and indirect jobs that will be generated, 480,000 jobs will come from business process outsourcing companies that will rise in the area while the remaining number will come from indirect jobs such as those in hotels, residential and other business establishments set to rise in the property.