Council wants 6-month moratorium, asks for in-depth study on Citicenter

THE Cebu City Council wants an in-depth study to be conducted before the executive department builds a high-rise condominium project on the lot currently occupied by the Citicenter Commercial Complex in Barangay Kamagayan.

Pending the study, a six-month moratorium should be imposed on the demolition of the families living inside the complex.

During the council’s regular session yesterday, Kamagayan Barangay Captain Celestino Avila said they want 2,000 out of the 7,281 square meters of the Citicenter to be given to them.

He said they will be using it to construct a condominium project for the urban poor families living inside Citicenter.

He said he is also planning to construct a senior citizens’ building, a lying-in center and a park, among others.

However, Councilor Jose Daluz III said that a thorough study should be made first, particularly on the construction of a condominium project for the urban poor.

“The property where the Citicenter is located is identified as a highly commercialized area. Di unya ka-afford ang mamuyo diha (The occupants might not be able to afford it) because of the high value of the lot and then our venture won’t succeed,” he said.

Councilor Margarita Osmeña pointed out to Daluz that Mayor Michael Rama also plans to build a condominium project in the area for the housing program for City Hall employees.

Daluz then said that the same study should be made before such project will be implemented.

“Because if the project would fail, it would just really be a waste of time and money.

Dili lang nato dali-dalion ug implement (We will not do it in haste),” he said.

As for the six-month moratorium, which is being proposed through an ordinance filed by Councilor Alvin Dizon, Daluz suggested that no period should be given.

The moratorium will be lifted once the study on the viability of the condominium project will be finished, he said.

Daluz pointed out, though, that there is really a need to develop and transform the area from being the city’s main red-light district.

Sought for comment about the matter, Rama said no one can stop him if he pushes through with the demolition of the illegal settlers at Citicenter.

The court has also given the City the go-signal to evict the families after it denied the families’ application for preliminary injunction.

Asked when will the City resume the demolition, Rama said it will be soon. He said there was only a delay because of the Yuletide and the Sinulog celebrations.

http://www.sunstar.com.ph/cebu/local-news/2013/01/24/council-wants-6-month-moratorium-asks-depth-study-citicenter-264491

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If elected, Gibo to prioritize bridge between Cebu, Bohol

CEBU, Philippines - Administration presidential aspirant Gilberto “Gibo” Teodoro said the construction of the bridge linking Cebu and Bohol provinces will be given immediate attention if he is elected into office.
Teodoro who joined the first day of Suroy-Suroy Sugbo southern heritage trail said that the development of Cebu and Bohol will continue if they push through with the plan to link two provinces by constructing the bridge.
At present, visitors from Cebu who also want to visit Bohol may ride through fast craft and other vessels. Those coming from Manila may avail of direct flights bound for Tagbilaran City.
The anchors of the bridge will be Getafe and Cordova towns in Bohol and Cebu respectively. Passing through shallow waters between the two provinces, the bridge is estimated to be 18 kilometers long —a “baby” compared to the bridge linking Incheon Airport and Incheon City in South Korea, spanning some 45 kilometers, now undergoing construction.
Bohol Governor Erico Aumentado said he envisions the bridge to improve vehicular and passenger traffic between the two provinces. It can also carry cables to Bohol so it can get more electric power.
The additional power can meet the requirements for the establishment of a shipyard in Bohol while the fiber optics will link Bohol to the information and communications technology highway.
To recall, the Regional Development Council-7 asked the Department of Public Works and Highways to endorse to the Korean government their request for the funding of a feasibility study on the proposed multi-access friendship bridge that will link the provinces of Cebu and Bohol.
During the RDC-7 full council meeting last year, Aumentado asked the endorsement and support from the RDC for the funding assistance of the project.
“I am happy to report to the RDC that one of our mega projects, the Bohol-Cebu multi-access friendship bridge now has the support of EDCF,” Aumentado told members of the RDC, which is headed by Cebu Governor Gwendolyn Garcia.
Aumentado said the Economic Development Cooperation Fund of Korea has already agreed to dole out $3 million for the needed feasibility study.
Aumentado said the bridge will hasten commerce and sharing of technology and exchange of power and water between Bohol and Cebu, if it will be implemented.
The bridge, which was conceptualized in 2006, is seen to cost at least P20 billion.
He also said that the completion of the airport in Panglao Island in Bohol will also add to the development of the two provinces. Teodoro also cited the need to construct a third bridge linking Mandaue City and Mactan Island.

Source: The Freeman Cebu

Of 24.7 hectares Balili property: DENR: Dry land is only 4.5 hectares

CEBU, Philippines - The ground survey conducted by the Department of Environment and Natural Resources confirmed that almost the entire 24.7 hectares Balili property, which the Cebu Provincial Government bought for P98 million last year is actually underwater and mangrove area.

The survey using the Global Positioning System (GPS) showed that 82 percent of the controversial property or 20.2 hectares is submerged and planted with mangroves, which could not be titled for being public land.

Geodetic engineer Aurelio Caña, who conducted the ground survey starting last September 2, told the members of the ad hoc committee of the provincial board yesterday that only 4.5 hectares is dry land.

The result of the survey will be submitted to the Office of the Ombudsman Visayas, which is also conducting a parallel fact-finding investigation into the Balili fiasco.

The anti-graft office earlier asked the DENR to conduct the actual survey of the property to confirm reports that a large portion of the property is submerged.

The DENR findings is contrary to the Capitol survey conducted by engineer Roy Cabunillas, which said only 9.4 hectares of the 24.7 hectares is submerged and planted with mangroves.

The DENR said that based on their records the 4.5 hectares dry land was already reclassified from timberland to alienable and disposable since 1986.

Prior to the reclassification however the owner, the late engineer Luis Balili and his widow Amparo, already secured a title in 1978.

But despite having secured a title, the Balilis applied for other land use permit with the DENR for a bathing establishment, which was renewed in July 6, 2006 and expired only in 2008.

Prior to the issuance of the title in 1978 the Balilis were already granted other lawful purposes permits for salt works and beach resort.

DENR regional counsel Tranne Ferrer said that the application of the Balilis for other land use permit in spite that the property was already titled to them is an indication that they were aware that the title was questionable.

Provincial Board Member Victor Maambong said this would establish bad faith on the part of the Balilis in selling the property to the province.

Maambong echoed the statement of Vice Governor Gregorio Sanchez on the possibility of rescinding the contract.

Ferrer and the other DENR officials were again summoned to the provincial board yesterday.

PB member Peter John Calderon asked Ferrer if they have issued a notice to the Register of Deeds regarding their recommendation for the reversion of the titles of the Balili lots so as to warn would be buyers.

Ferrer admitted that the agency did not, but said the DENR has already admitted that there was a mistake in the issuance of the titles. She said this is the reason why they have recommended for the nullification of the titles.

Ferrer added that prudent buyers should have inquired the status of the property with the DENR and should not have relied on the “mirror principle” by looking at the four corners of the titles only.

According to Ferrer, if she was the buyer and considering the amount involved is P98 million she would inquire the status of the land with the DENR.

PB member Juan Bolo, who is tagged of facilitating the transaction, questioned why it took 20 years for DENR to initiate the reversion after it was issued.

But Ferrer said she could not answer it because she was not with the DENR that time yet. She however surmised that it must have been because it was only in 1989 that the Bureau of Lands was merged with the DENR.

The members of the ad hoc committee also tried to establish yesterday the flow of the transaction documents following the mystery behind the voucher which was made as basis for the issuance of the checks payment to Atty. Romeo Balili, executor of the Balili estate.

None of the Capitol officials would admit preparing the vouchers. Although provincial treasurer Roy Salubre earlier said that as a practice, it is usually the requisitioning office that would prepare the voucher.

However, Salubre could not determine whether it was the office of Governor Gwendolyn Garcia which prepared it.

Budget Officer Emmy Gingoyon, planning officer Adolfo Quiroga and pre-audit chief Manuel Gial were called yesterday to the board but none of them could also tell who prepared the voucher.

Source: The Freeman Cebu

Osmeña: Potential of Balili lots

THE 240,000 square meters of land and foreshore area purchased by Cebu Province from the Balili family has a tremendous potential in terms of non-residential land uses.

The purchase price of P94 million can easily be justified if and when the Province decides to introduce the necessary development as “self-contained” projects in relation to factors that govern non-residential uses.

On the Balili issue, Gov. Gwendolyn Garcia should consider that whenever land is to be allocated to competing uses, care must be taken not to violate the economic law of ‘highest and best land use.” Since the “highest and best use” is always determined by the present worth of future rights to income or amenities, consideration must be given to the existence of demand for the uses and purposes to which certain sites are dedicated in the overall subdivision plan.

Since business properties are known to bring a much higher price per unit of land, it is a common error to over-provide the amount of space required for commercial use. Simply designing an area as business property does not make it one. There must be demand for business property and that demand is generally in direct proportion to the number of people, or better, of families residing in the area.

In the case of the Balili property where titles were improperly issued on the foreshore area (fishpond and mangrove), Governor Garcia should undertake the proper reclamation procedure by applying for a legitimate title with the Philippine Reclamation Authority.

I hope the governor will practice developing instead of subdividing. Whenever land improvements are carried out in accordance with subdivision plans, and expenditures are made to provide essential site facilities, the field actions are appropriately classified as land developing. Whereas, literally interpreted, subdividing merely means the “breaking-up” of one or more large tracts of land into smaller sites or plots.

Where subdividing is the owner’s intent like the South Road Properties of Cebu City, it need not incur any additional expenses other than those related to purchase, reclamation or the conduct of a survey on the land—which involves placing markers or stakes at intended boundaries and submitting a surveyor’s “plat” of the proposed subdivision.

The process of developing is ordinarily far more comprehensive in scope than that of subdividing, and requires expenditures greatly in excess of those represented by the reclamation of the “raw” land or its purchase price.

The use of coal ash interspersed with limestone to prevent air pollution in the reclamation of the 200,000 square meters of foreshore (fishpond and mangrove) of the Balili property is a financial advantage to the cost to produce the “raw” land for developing.

Governor Garcia should subdivide the 240,000 square meters into commercial lots with the improvement of water mains, sanitary sewers, street grading and paving, curbs and gutters and the miscellaneous costs of legal, sales, and overheads.

To illustrate, assume that 240,000 square meters of the Balili area is fully reclaimed and 30 percent of the land is allocated for road network and open space, then a saleable area of 168,000 square meters is available for sale at a conservative price of P10,000 per square meter or a gross sale of P1.68 billion while developing cost would be P32 million.

The marketing of subdivided land is essentially a selling campaign. Marketing begins as soon as the development is made presentable; that is, when the ground is cleared, streets and service utilities installed, signs and markers put in place, and other work have been completed to make the land attractive.

I hope Garcia will extend her goodwill and cooperation with Cebu’s licensed real estate brokers, specifically the realtors who are essential to the successful marketing of the subdivided lots.

Employing the services of a realtor is a goodwill sign of transparency in the project and also readily liquidate capital invested for further employment in other project developments.

Although the area of the Balili lots is only half the size of the 50-hectare Club Filipino golf course developed by Ayala, decisions by Garcia governing land uses may have important and far-reaching consequences.

Capitol should use the combined skills of urban planners, architects, civil engineers, real estate consultants on the Balili project.

Source: The Sunstar Daily Cebu

No takers yet for PTA properties

CEBU, Philippines -

Investors who are looking for good tourism related investments should start looking at properties up for sale by the Philippine Tourism Authority (PTA), this as PTA properties in Cebu and Bohol have no takers yet.

PTA chairman Joseph Ace Durano downplayed impressions that acquiring state-owned properties could be hassle and laced with bureaucratic red tape, saying “we just disposed and turned over some PTA-owned properties like in Tacloban and Boracay.”

Durano specifically mentioned the Argao Beach Club as a good property, which investors should consider very seriously.

Aside from focusing on Mactan Island, Durano said Cebu has ample areas that can be developed as tourism destination to be established with accommodation facilities, or other tourism related structures.

“There are a lot of options that investors should consider. We are proving them wrong in thinking that government-owned properties are difficult to acquire,” Durano said.

Of the total 40 estates and eight operating tourism-related entities, three of which are located in Cebu, and one in Bohol that are open for “outright-purchase” deal to interested investors, he said.

As of this moment, interested investors of these properties are inclined for lease agreement, which is not in line with the government’s thrust for privatization.

The huge property formerly Argao Beach Club, the over 100-hectare PTA-owned Kan-Irag estate in Cebu, and also in Moalboal are being opened for sale to capitalists, especially those who wanted to develop an integrated retirement village or other related projects.

Aside from the Kan-Irag property, the Moalboal, and Argao Beach Club have no major problems, only some glitches on entitlement, informal settlers, which can be settled easily by the government once, interested buyers will come in.

The Kan-Irag properly which was initially developed by the Gotesco Group about 10 years ago, is facing legal battle, as the PTA is fighting to get back the its ownership.

There are now a number proposals submitted by different interested developers for these properties, including the Balicasag Islet in Bohol, but Durano said all the proposals offering a “lease-only” deal, but not property buy-out.

According to Durano, the PTA Board has decided to sell the properties, or go into joint venture with a private entity, in order to generate financial revenue, for the use of tourism infrastructure which is now the primary program of the government.

Of the P1.1 billion budget of PTA a year, only P300 million is left for infrastructure project, the rest or P800 million is spend to subsidize for maintenance and operations of these properties.

With the active stance of the government to dispose the PTA-owned properties, Durano assured that potential buyer, or investor shall not be confronted with so many documentary requirements.

Despite the government’s call to encourage investors to consider these PTA-owned properties, there are still no final takers especially for Cebu and Bohol.