Vismin new growth area for conglomerates

MANILA, Philippines - Some of the country’s biggest conglomerates have set their sights on Mindanao and the Visayas as new sources of growth on the back of the Duterte administration’s thrust to spur development in the countryside.

The Lucio Tan Group, Andrew Tan-led Megaworld Corp., the Lopez’s Rockwell Land, and the group of corporate tycoon Manuel V. Pangilinan said they are all keen on expanding in Cebu and Davao.

“We are looking into expanding in Cebu,” LTG president Michael Tan said in a recent briefing.

Tan said this would be through Eton Properties, the group’s property development arm, which is studying the possibility of transforming a 35-hectare property in Mactan, Cebu into a hospitality and leisure development.

Eton acquired the Cebu property from the Philippine National Bank early this year.

“Planning period for the property will take a year to complete. Ground breaking may happen mid next year. We just acquired the property,” said Eton chief operating officer Josefino Lucas.

“We’re looking forward to working with the Duterte administration. The investment community is very positive (about the new government),” Tan said.

Megaworld, for its part is developing at least seven townships in the next 10 years in the Visayas and Mindanao as part of its target to build 12 provincial townships around the country.

Kingson Sian, executive director of Megaworld said the company expects growth to continue under the administration of Duterte.

Megaworld’s ongoing townships in Visayas and Mindanao are the Iloilo Business Park in Mandurriao, Iloilo City; The Mactan Newtown, in Lapu-Lapu City, Cebu; Davao Park District in Lanang, Davao City; Northill Gateway in Talisay City, Negros Occidental; The Upper East in Bacolod City; Sta. Barbara Heights in Sta. Barbara, Iloilo and Boracay Newcoast in Boracay Island.

The Lopez Group’s Rockwell Land is also expanding its hotel and leisure portfolio outside Metro Manila.

The Lopez Group is developing its first resort project, Punta Engano in Mactan, Cebu and is also looking at province of Iloilio for expansion.

The company is pouring in P3 to P4 billion to develop a 300-room resort in Mactan, Cebu,which will feature sky suites on its upper floors with panoramic views of the 250 meter beachfront. The resort will also have private villas which will give guests direct access to the beach.

Pangilinan, for his part said the MVP Group is ready to help the Duterte administration spur growth in the countryside.

“The focus of the Duterte administration to move to the rural areas is in the right direction….If businesses are encouraged to go to rural areas, they will go,” he said, adding that mining is one way to bring development to the countryside.