Cebu Landmasters Lines Up 5,600 Units Across Six Cities

Inventory Push After Quiet First Half

Cebu Landmasters Inc. is set to bring more than eleven residential projects to market before December, adding over 5,600 units with a combined value of approximately ₱25 billion, according to president and chief executive Jose Franco Soberano. The roll-out spans Cebu, Mactan, Ormoc, Butuan, Davao, and Panglao, all within the developer's traditional Visayas and Mindanao footprint.

The deployment follows a first half in which the company reported consolidated net income of ₱2 billion, down from ₱2.49 billion a year earlier. Revenues edged lower by one percent year-on-year to ₱10.2 billion, while real estate sales slipped two percent to ₱9.7 billion. Soberano attributed the decline to license-to-sell approvals that arrived later than expected, pushing inventory releases into the latter part of the year.

Recurring Streams Offset Residential Lag

While residential sales softened, leasing revenue climbed 49 percent year-on-year to ₱162 million, driven by newly operational retail assets and the launch of The Paragon Davao Lifestyle Mall. Hotel income rose 15 percent to ₱231 million, helped by higher occupancy and additional room supply following the opening of Radisson RED Cebu Mandaue in the first quarter.

Soberano said the stability in core revenue and margins, despite limited fresh stock, reflects sustained appetite for the company's existing portfolio. He added that the performance gives the firm confidence as it prepares to release a wave of new supply over the coming months.

Estate Launches and Luzon Entry

Beyond replenishing residential inventory, Cebu Landmasters is preparing two new township developments and plans its first entry into the Luzon market. Soberano said the combination of residential pipeline expansion, recurring income growth, and geographic diversification will provide multiple platforms to support longer-term growth.

The company's strategy centers on deepening its presence in secondary cities across Visayas and Mindanao, where it has historically enjoyed stronger margins and less competition than in Metro Manila. The planned Luzon move represents a shift toward broader national coverage, though Soberano did not specify the location or timing of the initial project.

Regulatory Timing and Market Sentiment

The delay in first-half launches underscores the influence of regulatory approvals on developer cash flow and revenue recognition in the Philippines, where license-to-sell permits from the Housing and Land Use Regulatory Board can take several months. For listed developers, timing mismatches between project completion and permit issuance can create quarterly earnings volatility, even when underlying sales momentum remains intact.

Cebu Landmasters' second-half inventory surge also comes as the broader Philippine property sector navigates elevated interest rates and tighter credit conditions. Developers have responded by concentrating launches in provincial markets with lower price points and higher affordability ratios, a dynamic that plays to the company's established regional network.

Outlook

The ₱25 billion pipeline represents a significant acceleration in launch activity compared to the first half. If executed as planned, the volume of new units could support a rebound in booked sales and improve the company's revenue trajectory heading into 2027. The success of the push will depend on buyers' willingness to commit deposits in a higher-rate environment and on Cebu Landmasters' ability to maintain construction schedules across multiple sites simultaneously.