If you have driven along the Cebu South Coastal Road recently, you have seen it: cranes piercing the sky, massive structures taking shape, and a skyline that did not exist five years ago. The South Road Properties (SRP) is no longer just a reclamation project—it is becoming Cebu’s next urban frontier.
But here is the question every investor, homebuyer, and business owner is asking: Is the SRP waterfront the next Cebu Business Park, or is it overhyped reclaimed land that will take decades to mature?
After digging through the data, visiting the sites, and tracking every major project from SM Prime, Ayala Land, and Filinvest, here is the honest, no-BS assessment of where the SRP waterfront is headed—and whether you should put your money there.
What Exactly Is the SRP?
Before we talk about the future, let us get the basics straight.
The South Road Properties is a 300-hectare reclamation project built on land reclaimed from the sea, located just south of Cebu City’s historic center. It is owned by the Cebu City Government, but the city has partnered with major developers to transform it into a modern, globally competitive urban core.
Think of it as Cebu’s answer to Manila’s Mall of Asia complex—but on a much larger scale, with a more ambitious master plan.
The SRP is not one project. It is a corridor of multiple developments, each with its own identity, timeline, and risk profile. The three major players are:
- SM South Coast City (26 hectares) – a joint venture between SM Prime and Ayala Land
- City di Mare (CDM) (58 hectares) – developed by Filinvest Land in partnership with the Cebu City Government
- Various other commercial and residential parcels – including NUSTAR Resort, SM Seaside City Cebu, and future developments
Together, these projects are transforming 84 hectares of reclaimed waterfront into what developers are calling Cebu’s “next central business district”.
The Heavyweight: SM South Coast City
If there is one project that defines the SRP’s future, it is South Coast City. This 26-hectare integrated, mixed-use waterfront development is a joint venture between two of the Philippines’ largest developers: SM Prime and Ayala Land.
What’s Already There or Coming Soon
SM Seaside City Cebu – The mall is already operational and draws massive foot traffic. But it is just the anchor.
SM Seaside Cebu Arena – This is the game-changer. A 25,000-seat indoor arena set to launch in June 2026. To put that in perspective, it is among the largest indoor arenas in the Philippines. The seven-story arena will have a 1.6-hectare building footprint and 7.4 hectares of gross floor area. It is designed for concerts, sporting events, and major productions, with premium suites, a centerhung 360-degree viewing system, and configurable event spaces. SM Prime is bringing the same proven model that made MOA Arena a success.
SMX Convention Center Seaside Cebu – Opening in the third quarter of 2026 with a ₱5.3 billion investment, this will be the largest convention center in the Philippines. It offers over 40,000 square meters of gross floor area, including 21,000 square meters of flexible event space. It features 4 trade halls, 8 function rooms, and 19 meeting rooms across 6 levels. For context, this means Cebu will no longer need to fly to Manila for major exhibitions, summits, or concerts.
SM Hotels – A dual-branded hotel development is also planned, with direct access to the convention center and arena.
Commercial Lots – Prime commercial lots ranging from 1,660 to over 3,100 square meters are available, with indicative land values starting at ₱350,000 per square meter. These are intended for corporate headquarters, BPO facilities, hotels, and mixed-use developments. This is institutional-grade real estate—not for small speculators.
The Strategic Positioning
Ayala Land explicitly positions South Coast City as the “Entertainment Capital of the Region”. It is designed to be a complete MICE (Meetings, Incentives, Conferences, Exhibitions) and entertainment destination. The arena, convention center, mall, hotels, and commercial spaces are all interconnected, creating a self-contained ecosystem that can host international events, drive tourism, and generate year-round economic activity.
The Other Giant: City di Mare (Filinvest)
While SM and Ayala dominate the entertainment and commercial side, Filinvest is building a different kind of waterfront community.
City di Mare is a 58-hectare master-planned mixed-use township within the SRP. It is designed as a “live-work-play” environment that integrates residential communities, commercial districts, and waterfront public spaces.
What’s Already There
Il Corso – A 10-hectare waterfront lifestyle strip that is already operational. It features dining, retail, and seaside promenades. The Cebu Bus Rapid Transit (CBRT) now provides direct access to Il Corso from Cebu IT Park in approximately 35 to 40 minutes.
Residential Communities – Sanremo Oasis and Amalfi Oasis are already built and occupied. Filinvest recently topped off Sanremo Oasis Building 8 in January 2026.
Commercial Development – As of May 2025, development of CDM’s prime commercial lots was nearly 30% complete, with full completion on track for Q1 2026.
What’s Coming
Coastal Block – A rare offering of only five oceanfront commercial lots, each envisioned for landmark buildings with iconic architectural potential. These feature expansive cuts, higher allowable floor area ratios, and stunning sea and mountain views.
Greenway Block – Commercial lots adjacent to a 1.3-hectare linear park, blending commercial potential with environmental harmony.
New Retail and Dining – Well-established brands such as Jollibee, Chowking, Bo’s Coffee, and Caltex are set to open within the year, offering drive-thru convenience along the coastal road.
Recreational Amenities – Future Golf’s driving range, TGR Football Academy, and a skate park are all in the pipeline.
Pedestrian Bridgeway – A bridge currently under construction will link CDM directly to Il Corso, creating a walkable, integrated hub.
City di Mare is not an organic district—it is a designed business environment, governed by use controls, density rules, and long-term planning intended to support institutional-grade commercial activity. This is not a place for short-cycle speculation; it is a multi-decade play.
The Infrastructure Backbone
None of these developments matter without the roads, bridges, and public transport to support them. Here is what is happening on the infrastructure front.
CCLEX Viaduct (₱3–4 Billion)
A proposed set of new ramps connecting the Cebu-Cordova Link Expressway (CCLEX) directly to the SRP has been pushed as a solution to worsening traffic. The plan shifts from an earlier V. Rama alignment (which would have displaced 300 to 400 families) to an offshore viaduct along the SRP.
The new ramps will allow direct access to CCLEX from downtown and uptown Cebu, as well as direct exit from the bridge to key city routes. Currently, motorists must loop toward Talisay, covering about seven kilometers before reaching their destination. This project could significantly reduce travel time, fuel consumption, and congestion. Completion is targeted in about one and a half years.
Mayor Nestor Archival emphasized the urgency: with the SM Arena expected to draw up to 16,000 people per event, traffic congestion is a real concern.
Cebu Bus Rapid Transit (CBRT) Expansion
The DOTr is pushing to build additional CBRT stations at the SRP before its World Bank loan expires in September 2026. The plan includes a 2.70-kilometer loop road with four stations (SRP 3 to SRP 6), dedicated BRT lanes, bicycle lanes, planting strips, and upgraded sidewalks.
The SRP 5 station is expected to serve commuters from City di Mare, Il Corso, and several government offices that have relocated to the SRP area. The CBRT already provides direct access from SRP to Cebu IT Park in 35 to 40 minutes.
Pedestrian Infrastructure
A second pedestrian skywalk is coming to the SRP, following the first bridge at Il Corso. The new overpass will be built across the Cebu South Coastal Road fronting NUSTAR Resort. It will include elevators for PWD accessibility and is expected to benefit thousands of workers, particularly the 5,000 employees at NUSTAR.
Power and Utilities
VECO is starting a power line expansion project at the SRP, and the city is bidding out a ₱204 million contract for a new waste transfer station. The city is also preparing an SRP Drainage Master Plan—critical for a reclamation area.
Residential Real Estate: What Are You Actually Buying?
If you are considering buying a condo or house in the SRP area, here is what you need to know.
Current Prices
Metro Cebu residential properties in 2026 average about ₱110,000 per square meter, with condos in business districts commanding ₱130,000 to ₱190,000 per square meter. SRP properties are generally at the higher end of this range, given the premium waterfront location and master-planned environment.
The Developer Landscape
- Filinvest – Sanremo Oasis and Amalfi Oasis are established residential communities within City di Mare.
- SM Prime and Ayala Land – South Coast City will include residential components alongside its commercial and entertainment offerings.
- Other developers – Various lots and projects are available through different developers, but the major players are the ones with the track record and the capital to deliver.
The Rental Market
The SRP is positioned to attract a mix of tenants:
- BPO and office workers – As commercial spaces fill up, demand for nearby housing will grow.
- Event-related workers and tourists – The arena and convention center will generate short-term rental demand.
- Executives and expatriates – Waterfront living with master-planned amenities appeals to high-income renters.
However, the rental market is still nascent. Unlike Cebu IT Park or Cebu Business Park, which have established tenant pools, the SRP is still building its residential base. Early buyers are betting on future demand, not current occupancy.
The Investment Thesis: Why SRP Could Work
1. Scarcity of Large-Scale Commercial Land
Metro Cebu is running out of available land for large-scale development. The Cebu Business Park and IT Park are effectively full. The SRP offers 300 hectares of prime, master-planned waterfront land—something no other location in Cebu can match.
2. Institutional-Grade Developers
You are not betting on fly-by-night developers. SM Prime, Ayala Land, and Filinvest are among the most established real estate companies in the Philippines. They have the capital, the track record, and the long-term vision to see this through.
3. Infrastructure Catalysts
The CCLEX viaduct, CBRT expansion, and pedestrian infrastructure are not hypothetical—they are actively being planned or constructed. Each piece of infrastructure makes the SRP more accessible and more valuable.
4. Entertainment and MICE Anchor
The arena and convention center are not just buildings—they are demand generators. They will draw people from across the Philippines and internationally, creating a continuous flow of visitors, business travelers, and event attendees. This is the kind of foot traffic that makes commercial real estate work.
5. Government Commitment
The Cebu City Government owns the land and has a vested interest in the SRP’s success. They are actively supporting infrastructure projects, approving developments, and positioning the SRP as the city’s next central business district.
The Risks: What Could Go Wrong
1. Reclamation Soil Stability
This is reclaimed land. While modern engineering standards are high, the long-term stability of reclamation areas is always a consideration. The city is preparing a drainage master plan for a reason.
2. Timeline Risk
Major developments take time. City di Mare’s commercial lots are only 30% complete as of mid-2025. South Coast City is in pre-selling phases with phased development. If you are buying preselling, you are betting on timelines that could slip.
3. Traffic Congestion
The SRP’s success could become its own worst enemy. More people, more events, and more businesses mean more traffic. The CCLEX viaduct and CBRT expansion are designed to address this, but infrastructure often lags behind development.
4. Oversupply Risk
If too many residential and commercial projects come online at the same time, there could be a temporary oversupply. This is a common risk in emerging districts.
5. The “Ghost Town” Factor
Master-planned developments can feel empty for years while waiting for tenants and residents to fill them. The SRP already has SM Seaside City and Il Corso as anchors, but the broader district is still in its early stages.
Who Should Invest in SRP Waterfront?
The “Yes” List
- Institutional investors and developers – If you have the capital to buy commercial lots and develop them, the SRP offers scarcity value and long-term upside.
- Long-term residential buyers – If you are buying a condo to live in or hold for 10+ years, the SRP offers waterfront living in a master-planned environment.
- Businesses targeting the MICE and entertainment sectors – Hotels, restaurants, and event-related businesses will benefit from the arena and convention center.
- Investors with patience – This is not a get-rich-quick play. The SRP is a multi-decade development.
The “Wait and See” List
- Short-term speculators – Flipping a condo in an emerging district is risky. Price appreciation is not guaranteed in the near term.
- Buyers who need immediate rental income – The residential rental market is still developing. Do not expect IT Park-level occupancy from day one.
- Risk-averse investors – If you cannot stomach construction delays, traffic headaches, or the “ghost town” phase, wait until the district is more mature.
The Golden Rule of SRP Investment
Do not buy the brochure. Buy the timeline.
The SRP waterfront in 2026 is not what it will be in 2030, and it is certainly not what it will be in 2036. Every project has a timeline, and every timeline has risks.
If you are buying into South Coast City, you are buying into SM Prime and Ayala Land’s vision of an entertainment and MICE capital. If you are buying into City di Mare, you are buying into Filinvest’s vision of a live-work-play coastal township. Both visions are credible. Both have institutional backing. Both will take time.
The question is not whether the SRP will succeed—it almost certainly will, given the scale of investment and government support. The question is whether your timeline matches the district’s timeline.
If you can wait 5 to 10 years, the SRP waterfront offers one of the most compelling real estate opportunities in the Visayas. If you need returns in 2 to 3 years, look elsewhere—Cebu IT Park and Cebu Business Park are still the safer bets for near-term yields.
The Final Verdict
The SRP waterfront is not a mirage. It is real, it is happening, and it is transforming Cebu’s skyline before our eyes. The 25,000-seat arena is launching in June 2026. The largest convention center in the Philippines is opening in Q3 2026. The CCLEX viaduct is being planned. The CBRT is expanding. Commercial lots are selling for ₱350,000 per square meter.
This is not hype. This is a fundamental shift in Cebu’s urban geography.
But it is also a long game. The SRP will not replace Cebu Business Park or IT Park overnight. It will complement them, offering something neither can provide: large-scale, master-planned waterfront development with world-class entertainment and convention infrastructure.
If you are an investor with patience, capital, and a long-term view, the SRP waterfront deserves your serious attention. If you are looking for quick returns or a proven, established market, wait a few years and let the infrastructure catch up.
The future of Cebu is being built on reclaimed land along the coast. The question is whether you want to be part of that future—or watch it from the shore.
Author
John Paul Ybañez Paquibot
Licensed Real Estate Broker | PRC No. 00014132 | DHSUD No. CVRFO-B-03/18-2672
Bachelors Realty and Brokerage, Inc. Cebu
G/F Cap Building, Brgy. Corner, Osmeña Blvd.
Arlington Pond St. Extension, Cebu City, 6000 Cebu
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