Carbon rental rates to remain affordable
Transforming the 112-year-old carbon market into a world-class people’s trading ground by 2025 does not mean higher rental rates for thousands of vendors, assured Megawide Construction Corporation.
“Nothing to fear. Nothing to worry about,” assured Megawide assistant vice president for Corporate Affairs Jason Torres in a project presentation held Wednesday, amid fears that the carbon market’s modernization program will result to higher rental rates for vendors, thus making goods more expensive.
The construction and engineering firm Megawide, which is also part of the Mactan International Airport’s management company, GMCAC, was awarded by the Cebu City government to re-develop the historic farmers and fishermen’s post into a first-world public market, through a Public-Private Partnership (PPP) deal.
The P5.5 billion project will break ground this coming March, to signify the five-year renovation of Carbon market, explained Torres.
“Rental rates will remain affordable. This is not a privatization project. Carbon market remains to be people’s market and that rental rates of vendors will be managed and duly regulated by the Cebu City government,” noted Torres.
The entire project is envisioned to transform Carbon Market into a commercial, heritage and cultural district with a multimodal and integrated transport hub.
The redevelopment would create 36,000 square meters of gross leasable area, much larger than the current area of only 15,000 sqm.
The agreement involved a phased redevelopment of the 7.8-hectare Carbon Market, with carefully studied temporary market program once the construction starts.
Torres also assured that once the construction will start “there will be no, or minimal distractions to vendors’ livelihood.”
The deal includes the construction, development and operation of mixed-use assets for a 50-year concession period, which could then be extended by 25 more years upon mutual agreement.
Likewise, the Cebu City government would contribute the exclusive use and possession of the project site. Part of the area, will be transform ed into a mid-rise business center with in-city hotels, restaurant hub, parks and a public market.
Submitted as an unsolicited proposal, phase 1 of the project would involve the rehabilitation of the existing public facilities, construction of a new night market and
other commercial establishments, transport and ferry terminals, airport check-in facility, water taxis going to Mactan Island, among others.
From a dense and sometimes hostile environment, Carbon Market will become the country’s first world-class public market, which will also be designed to be a major tourists’ attraction within Cebu City.
Currently, there are a total of 1,700 (at most) stall tenants at Carbon, while around four thousand are ambulant vendors. Torres further assured that business as usual for these vendors despite the modetnization program.
“Beautiful and modern does not have to be expensive,” he noted.
The project is expected to benefit all stakeholders from vendors, business owners, transport operators to the public in general and encourage the growth of tourism and local entrepreneurship.
In the 3rd quarter this year, Megawide will start the construction of land terminal, followed by the development of 24/7 Puso Market, and Sto. Niño Park in the 4th quarter.
The Phase 2 is a mixed-use development plan that would include a hotel, conferencing and retail shops.
The main market, which would occupy blocks 1 and 2, is envisioned to showcase the design of the old train station that previously stood on Freedom Park.
Block 3 would be transformed into a wholesaler’s hub while block 4 would be converted into a lifestyle village for shops and other establishments.
Block 5 would house rows of restaurants, while block 6 would feature the hotel.
By 2025, Cebu will have a world-class Carbon market, which will also become an iconic in-city destination showcasing Cebuano heritage and culture.