Federal Land eyes P3.5-B sales from luxury condo project in Cebu

MANILA, Philippines - Federal Land Inc., the real estate development arm of the Metrobank Group, is eyeing P3.5 billion in sales from a two-tower luxury residential project in Cebu City, offering the international quality services of a five-star Marco Polo hotel.

Situated 800 feet above ground in the posh district of Nivel Hills, right in the center of Metro Cebu, the Marco Polo Residences project will be the first upscale residential enclave in the area, offering a total of 401 condo units and seven grand villas.

Federal Land signed yesterday a trademark royalty agreement with Marco Polo Hotels allowing the Ty-owned property firm to introduce the hotel’s exquisite brand of service to Marco Polo Residences.

In a briefing, Federal Land president Alfred Ty said the company is spending around P3 billion for the construction of the two towers, the first of which will house 171 units while the second tower will make available 230 units and seven grand villas with sizes ranging from 382 to 643 square meters.

A studio suite, with a size of 35 to 38 square meters, will sell for P3.4 million to P3.7 million each while a one-bedroom unit will cost P4.1 million to P5 million each. Two-bedroom units are priced at P8 million to P11 million while three-bedroom units will fetch from P15.8 million to P17.5 million. Four-bedroom units will sell at P20.1 million to P25.9 million each.

The grand villas, with sizes ranging from 382 sqm to 643 sqm,,will be sold at $1.15 million each.

Ty said sales have been brisk with the first tower substantially sold, reflecting the robust demand for luxury residential projects in the area. The take-up rate for the second tower, on the other hand, is at 40 percent. Tower 1 and Tower 2 units are expected to be turned over to residents in 2013 and 2014, respectively.

 Due to strong demand, Ty said the company is looking to build a third tower.

Steve Kleinschmidt, president of Hong Kong-based Marco Polo Hotels, said Marco Polo Residences offers the best view in the area with each unit designed to exude stylish living suited for the distinct tastes of discriminating residents.

Among its amenities include an adult pool, well-equipped fitness center, game room and a multi-purpose room.

Hong Kong-based Marco Polo Hotels currently has 10 hotels in operation in Asia, three in Hong Kong, five in China and two in the Philippines.

Federal Land raised recently P6.6 billion from its maiden issuance of five-year fixed rate corporate notes in March. The issue, solely arranged by First Metro Investment Corp., was oversubscribed, prompting Federal Land to increase the size to P6.6 billion from the original P5 billion. A total of 18 lenders, a mix of banks, trust companies and mutual funds, participated in the offering.