By Mike Baños
Cagayan de Oro has been cited as one of the Philippines prime property hotspots by a real estate advisory company in one of the county’s leading business newspapers.
Preview attachment Sheraton Hotels & Resorts.jpg
In an article “Priming Philippine Property Hotspots” written by Joey Roi Bondoc, Director and Head of Research of Colliers Philippines, Cagayan de Oro was cited for its competitiveness as an investments hub which “makes it one of the most ideal locations in Mindanao.”
In his article published in Business World, Bondoc cited Cagayan de Oro’s strategic location that “makes it a key property investment destination in northern Mindanao.”
Bondoc noted the need for more economic growth corridors outside of Metro Manila as the country’s economy continues to expand. From central to southern Luzon, Colliers is also seeing vast opportunities in major urban areas in Visayas and Mindanao, he added.
He further observed how the National Government’s massive infrastructure implementation and decentralization thrust has been resulting in the creation of new economic centers in Luzon, Visayas, and Mindanao, outside Metro Manila and Metro Cebu.
Thus, Northern Mindanao has been allocated the most number of “Region-Specific” Infrastructure Flagship Projects (IFPs) after the National Capital Region under the Philippine Medium Term Development Plan for 2024-2028, as befitting the Philippines fourth emerging metropolitan area.
Data from the Infrastructure and Utilities Development Committee of the Northern Mindanao Regional Development Council (RDC-X InfraCom) show Northern Mindanao has 15 of the 133 Region-Specific listed projects, including the 15 nationwide and 24 inter-regional projects (source: https://neda.gov.ph/infrastructure-flagship-projects/).
The 185 IFPs are distributed across various regions, with 133 projects (or 72%) percent to be implemented in specific regions. NCR has the highest number of IFPs with 30, followed by Region X with 15, and Region III with 13 projects.
Among Region X listed IFP projects traversing Cagayan de Oro are the Mindanao Railway Project Phase 3 (Northern Mindanao) P111.08-B; Central Mindanao High Standard Highway Construction Project P102.71-B; Naawan-Opol-Cagayan de Oro City-Villanueva Expressway (MisOrEx) P46.68-B; Cagayan de Oro Coastal Road (Puerto-Gusa Section) P36.115-B; and Cagayan de Oro Bus Rapid Transit P23.38-B.
Next Wave Cities
As one of the Top Ten Next Wave Cities identified by the Department of Information and Communications Technology (DICT), Cagayan de Oro is being assisted by the agency to make it more conducive for IT-Business Process Management (IT-BPM) industry investments such as IT services online, offshore, and local, and the BPO (business process outsourcing) industry like call centers.
DICT identified the country’s Next Wave Cities as those having reliable sources of power, fast internet connectivity, the implementation of ease of doing business, and the presence of the feeder schools.
Thus, Bondoc notes that with CDO on the radar of outsourcing firms, this makes it an ideal location for residential end-use especially for outsourcing employees as well as overseas Filipino workers (OFWs). This should further entice national and homegrown property firms to launch more residential projects in the city.
Residential condominiums
One of the locally based real estate developers which pioneered the green condominium concept recalls perceiving this opportunity a decade and half ago.
“CDO, like other growing cities in the Philippines, is becoming a modern metropolis. People are evolving their lifestyles, their needs and aspirations. Young people, the rising middle class, OFWs and also investors, now have the opportunity to become owners of real estate and benefit from it,” notes Ar. Romolo Valentino Nati, Executive Chairman and CEO of Italpinas Development Corporation (IDC), a Filipino-Italian joint venture.
“IDC was the first mover in this direction, ahead of the competition. We took big risks because we anticipated trends that were still, at the time, on their way to becoming mainstream.”
Hotel Investments
Bondoc also cites the forthcoming expansion and modernization of the Laguindingan Airport being positioned as another international gateway. He said this should also enable the city to attract more leisure investors such as hotel investments.
Already, among the big ticket investments on the horizon are three international chain hotels and an international membership retail establishment.
Sheraton Hotels and Resorts is an American international hotel chain owned by Marriott International. Marriott International, Inc. is an American multinational company that operates, franchises, and licenses lodging brands that include hotel, residential, and timeshare properties. Marriott International owns over 30 hotel and timeshare brands with 8,785 locations and 1,597,380 rooms across its network.
As of 2024, Marriott International operates Luxury (6), Premium (12), Select (10), and Longer Stays (7) hotels, resorts and other branded properties internationally. Sheraton Hotels and Resorts is one of its listed Premium brands.
More recently, Cebu-based property developer AppleOne Group, Inc. announced it is expanding its portfolio beyond Visayas by partnering with Radisson Hotel Group to build the first 5-star hotel and internationally-branded residences in Cagayan de Oro City.
The company is the developer behind Sheraton Cebu Mactan Resort in Cebu, as well as business and lifestyle hub in Cebu, the Mahi Center where Fairfield by Marriott Cebu Mactan is nestled.
In December last year, the company broke ground for JW Marriott Panglao Island Resort and Residences in Panglao, for the first 5-star luxury hotel and residences in Bohol province. AppleOne Group also owns and operates the Apple Tree Resort and Hotel in Opol, Misamis Oriental.
AppleOne President & CEO Ray Go Manigsaca said that by introducing Cagayan de Oro’s first 5-star hotel and residences, the company will greatly help pave the way for a transformative economic and social impact in the region.
Radisson Blu Hotel and Residences, Cagayan de Oro will rise in CDO’s upscale Uptown area with approximately 717 keys. Both the hotel and residences will be co-located within the same property, making it the first internationally-branded property mixed-use development in Northern Mindanao.
Another upcoming property is the Citadines by Ascott at Città Alta (high city in Italian) the tallest of the seven buildings of Primavera City, a flagship project of IDC at the Pueblo de Oro Business Park.
Città Alta is a 32-story mixed use condotel featuring efficient water and energy usage, integrated passive cooling designs, and a facade that shields residents from excessive heat.
Not the least, Landers Superstore plans to develop a three-hectare property in the city. Two Landers Superstore branches are already set up in the cities of Cebu and Davao.
Southeastasia Retail Inc. is the retail company which owns and operates the Landers Superstore brand. It is large membership retail establishment catering to a defined membership-based and club consisting of business people and exclusive pool of approved employee groups.
Landers Superstore is a combination of supermarket and department stores and is considered as a one-stop shop for all of the member-customer’s needs. Since it opened its first branch on June 22, 2016, Landers now has branches in Balintawak, Cebu, Alabang, ArcoVia City, and its main branch and office at 1890 Paz Mendoza Guazon St., Otis, Paco, Manila.