THE proposed retirement facility in the South Road Properties (SRP) is expected to generate P35 billion in 25 years.

The projection was made by I-Land Way Phils. Inc. president Kazuhito Matsuda in a formal presentation with the Cebu City Government representatives Tuesday night at the Casino Español.

I-Land wants to lease a 1.2 hectares of the SRP so it can put up a retirement facility for Japanese retirees.

The company is willing to invest P1.41 billion for three buildings with a total of 885 units that can accommodate 1,125 retirees.

Just a day after the presentation, six councilors pushed for the approval of the terms of reference for the lease of the 1.2-hectare lot.

The proponents were Councilors Gerardo Carillo, Hanz Abella, Richard Osmeña, Noel Wenceslao, Mary Ann de los Santos and Dave Tumulak.

While it has always been perceived that the Bando Osmeña Pundok Kauswagan (BOPK) is trying to block the development of the SRP, three of the proponents are all allies of the group.

The approval will have to wait for the result of the executive session on Feb. 19.

Concern

Invited to appear before the Council’s executive session are the bids and awards committee, SRP Manager Roberto Varquez, City Legal Office, city appraisal committee and the City Planning and Development Office.

Councilor Alvin Dizon moved for the inclusion of I-Land in the executive session, but Councilor Margarita Osmeña explained that it may not be necessary yet because the content of the terms of reference will only concern the Cebu City Government.

I-Land proposed to lease the property at $.50 per square meter, every month.

The only other lessor at the SRP is Bigfoot Global Solutions, which leased a two-hectare property in the area at $.40 per square meter per month.

The City Appraisal Committee recommended a floor price of P50 per square meter per

month as the proposed rental fee.

The committee was composed of then city assessor Eustaquio Cesa, who is now designated to assist at the City Treasurer’s Office; appointed City Engineer but designated as City Planning and Development Coordinator Kenneth Enriquez; and Acting City Treasurer Diwa Cuevas.

Price

The floor price was based on the 2009 appraisal of the North Reclamation Area (NRA) at P37.5 per square meter per month.

Considering the valuation and the amenities surrounding NRA, which was deemed more than what surrounds the SRP, the committee arrived at the 50-peso per square meter appraisal.

Matsuda believes I-land’s project will benefit Cebuanos in terms of labor opportunities and the economy of the City.

Construction of the retirement facility is aimed to start within the first half of 2015 and expected to be completed in 2019.