DELAYS in several housing projects in Cebu were attributed to poor road access, the Covid-19 pandemic and right-of-way issues affecting the site that connects Talisay City, Minglanilla and Toledo City.
Despite these setbacks, the developer, Azzela Properties Development Corp., said it remains committed to completing unit turnovers and processing refunds for affected homebuyers by early 2026.
The firm also assured that it remains in good standing with government regulations while balancing ongoing construction with refund obligations.
In an interview on Wednesday, October 22, 2025, Azzela chief executive officer Lloyd Adlawan said the main access road connecting the three cities, being built by QM Builders, is now 95 percent complete and expected to be fully passable by the end of October 2025.
“The road project is crucial; that’s really what caused the delay. We even had to allocate around P25 million for the road right-of-way and another P6 million for a bridge just to make the area accessible,” Adlawan said in a mix of Cebuano and English.
He admitted that the company failed to meet its turnover commitments, citing both the pandemic and poor infrastructure as major factors.
“It was partly our fault that we couldn’t turn over the houses during the pandemic and while the access roads were still in poor condition,” he said.
Adlawan said full-scale development works are now underway following the near completion of the road project. He assured that housing turnovers and full refund payments will begin by early 2026.
He denied allegations that the company had stopped paying refunds, saying payments are ongoing through staggered installments.
“We are paying refunds every month in staggered payments, from P5,000 to P10,000 depending on the case. Those with emergencies are prioritized. We are not scammers, and we don’t lie. We have the willingness and good faith to pay,” he said.
He added that the company has proof of payments showing that refunds have been made to several homebuyers.
Adlawan said refund processing must be balanced with ongoing site development to maintain financial stability. He noted that issuing refunds is favorable for the company, as the units can later be resold.
“We have no intention to deceive,” he said.
He said Azzela Properties holds a valid license to sell from the Department of Human Settlements and Urban Development (DHSUD), covering projects such as Zen Heights, Azella Heights and Azella Hazienda.
He added that the company has paid around P2 million to P3 million in DHSUD fees and explained that the agency’s role mainly involves licensing.
“If DHSUD issues a cease-and-desist order against Zen Heights, that’s within their authority. But to fully comply with all DHSUD requirements can cost up to P100 million,” he said, explaining that the company divided its large development area into phases.
Adlawan advised homebuyers with unresolved complaints to file cases before the Human Settlements Adjudication Commission (HSAC) or through the courts. He said complaints should not be directed to the mayor or the governor.
He noted that more than 100 homebuyers have requested refunds to date, and the company is addressing these claims through scheduled payouts.
However, DHSUD 7 earlier confirmed that Azzela Properties had sold housing units without the necessary permits and allegedly continued collecting payments despite a cease-and-desist order issued in 2022.
According to the DHSUD 7, the developer’s continued operations after the suspension violated housing laws. It said it had imposed administrative fines and maintained that while it can issue orders and penalties, it lacks “police power” to physically enforce shutdowns, a gap that allowed the alleged violations to persist.
During mediation attempts, the DHSUD 7 said representatives sent by Azzela lacked authority to finalize settlements, further frustrating buyers.
Despite these findings, Adlawan maintained that Azzela is working to fulfill both its development commitments and its financial obligations.
“We’re doing everything we can to finish the road, complete the houses, and pay the refunds. We are acting in good faith,” he said. (CAV)