By Zinnia B.
Dela Peña (The Philippine Star) | Updated June 24, 2013 - 12:00am
MANILA,
Philippines - Philippine Amusement and Gaming Corp.’s Las Vegas-style casino and tourism complex
Entertainment City has the potential to become the next major central business
district in Metro Manila and replicate the success of Bonifacio Global City
where demand for real estate properties has gone up significantly, according to
the head of the state gaming firm.
Pagcor
chairman and chief executive officer Cristino Naguiat Jr. said Entertainment
City, located on 100 hectares of reclaimed land along Manila Bay, is not only
poised to become the country’s premier gambling destination but is also seen to
lead the next wave of growth in the metropolis.
Naguiat said
real estate values in Manila have been on the uptrend especially with the
ongoing development of the Entertainment City.
Property
consultancy firm Colliers International said developers have been stepping up
construction in Manila and Pasay as demand for residential properties in the
area spiked up with the opening of the first of four integrated resorts planned
within the complex.
The demand is
mainly driven by foreign expats who have moved to the Philippines to work in
Entertainment City, which is touted to become the region’s next best bet for
tourism and gaming. Foreigners are allowed to own condominium units in the
Philippines.
For this year
alone, around 7,181 units from 18 new residential condominiums are expected to
come online, 10 percent higher than the 2012 figure.
Naguiat said
Pagcor owns more than 50 hectares of land within Entertainment City. It acquired the lot in 2008 for around
P23,000 per square meter which is already more than double the current market
value of P47,000 per sqm.
“Entertainment
City may be the next Bonifacio Global City.
Similar to Fort Bonifacio, lot prices in Manila are expected to go up
further as new developments rise in the area. But the value will not rise
without the casinos,” Naguiat said.
Pagcor has
leased some of its properties within Entertainment City to Bloomberry Resorts
Corp., the owner of the $1.2-billion Solaire Manila Resort & Casino which
opened its doors to the public last March 16, and Travellers International
Hotel Group of Malaysian conglomerate Genting Group and real estate tycoon
Andrew Tan.
Apart from
casinos and hotels, business process outsourcing (BPO) buildings and
international schools have been sprouting in Manila to take advantage of the
real estate boom being generated by Entertainment City.
Entertainment
City is seen to attain even greater momentum once all four gaming proponents
are fully up and running by 2016 or 2017.
In
anticipation of the expected influx of new businesses in the area, Manila
Electric Co. (Meralco) has sought the construction of a new P1.2 -billion
substation to address the needed capacity of large load customers at
Entertainment City.
Alphaland
Corp. of businessman Roberto V. Ongpin is building an exclusive marina club
along the western coast of Alphaland Bay City, located between SM Mall of Asia
and Solaire. The project is scheduled for completion in the second quarter of
2014.
A short
distance away from Makati and the Ninoy Aquino International Airport,
Entertainment City’s strategic location
is another prime attraction. The extension
of the existing LRT Line 1 from Baclaran to Bacoor, Cavite and the construction
of an elevated expressway linking the South Luzon Expressway to NAIA Terminals
I, II and III are also expected to boost commercial activity in the area.
At full
development, Entertainment City is expected to have the capacity to deliver up
to $10 billion annually in gaming revenues as well as generate over 400,000
direct and indirect jobs. It is seen to
attract at least a million tourists annually and capture 10 percent of the
global gaming market.
“We are
highly enthusiastic about Entertainment City and the impact it will have on
Phiippine tourism. I believe the Philippine gaming industry has a long way
to go in terms of revenue potential,” Naguiat said.
Aside from
Solaire and Travellers, other gaming proponents setting up shop in
Entertainment City are the group of Macau casino giant Melco Crown and tycoon
Henry Sy’s Belle Corp., and Tiger Resorts Leisure and Entertainment Inc. of
Japanese gaming tycoon Kazuo Okada.
Melco-Belle
is slated to open its casino venture in October next year while Okada’s is
slated for opening in the first quarter of 2015. Travellers, on the other hand, is scheduled
to open Manila Bayshore by 2016 or 2017.
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