INQUIRER Global Nation

THE real estate arm of the Lucio Tan Group of Companies is looking at building hotels, residential condominiums and business process outsourcing buildings on their properties in Cebu.

“But we have to do more detailed feasibility studies on our Cebu properties. We haven't done any development on these (properties) yet. (They are) not yet part of our priority projects,” said Danilo E. Ignacio, president and chief operating officer of Eton Properties Philippines, Inc. (EPPI).

Ignacio said the group, which includes sister companies Allied Bank and Philippine National Bank, maintains a large “land bank in Cebu.”

Ignacio, however, noted that there are no final plans on what to do with these properties including the 35-hectare property in Mactan, Cebu, which used to be Coral Reef Resort Hotel and Resort.

Coral Reef was previously owned by Palm Tree Estates, Inc. and Belle Air Golf and Country Club.

The owners started to embark on an expansion financed by a loan from PNB in the mid 90s but was hit by the Asian financial crisis in 1997.

In 2005, PNB foreclosed the property. It is still the subject of court litigation after the previous owners filed a case against the bank for illegal mortgage and foreclosure.

Meanwhile, Ignacio said the group owns a three-hectare property near an old softdrink plant site in barangay Mabolo, another property in Punta Engaño and two adjacent properties inside Cebu Business Park through Allied Bank and PNB among other properties.

Established in 2007, EPPI has 10 projects in Metro Manila and other Luzon provinces.

Its residential projects include One Archer's Place and Eton Baypark in Manila, and Eton Emerald Lofts, Eton Parkview Greenbelt, The Eton Residential Greenbelt and Belton Place in Makati.

The company is pre-selling these development projects.

Ignacio said One Archer's Place is selling well among Cebuanos especially among families whose children are studying in Manila.

It is a 31-storey twin tower residential condominium designed for students and young professional and located beside De La Salle University.

“Cebuanos appreciate a good real estate investment if that project is in a strategic location and done by a reputable developer.”

Asked why they have not yet embarked on projects in the Visayas, Ignacio said: “We want to strengthen the presence of our company in Manila first then later go to the Visayas and Mindanao.”

He said the company continues to be bullish on real estate as the market is fueled by the BPO and office market, overseas Filipino workers and the leisure market. /Reporter Cris Evert B. Lato