Megawide Construction Corp. said Monday it teamed up with the local government of Cebu City for the P5.5-billion modernization of the Cebu Carbon market.
Megawide said in a disclosure to the stock exchange it signed a joint venture agreement for the construction, development and operation of mixed-use assets within the Cebu Carbon market.
The joint venture agreement with have a term of 50 years that can be extended for another 25 years upon mutual agreement of the parties.
Megawide will invest P5.5 billion in the joint venture project while Cebu will contribute the exclusive use and possession of the project site.
Phase one of the project will cost P3 billion involving the construction a new public market, including night market, other commercial establishments, transport and ferry terminals, new Sto. Nino Park and a chapel.
Phase 2 involves potential mixed-use development, including hotel, retail and convention center.
The Carbon market redevelopment will be Megawide’s second major project in Cebu.
Megawide, in partnership with GMR Infrastructure of India, is in charge of the redevelopment and maintenance of Mactan-Cebu International Airport.
Megawide reported in November plans to build more integrated land transport terminal in various parts of the country.
Megawide chairman and chief executive Edgar Saavedra earlier said the company was in talks with various local government units to replicate in other cities the transport terminal it constructed in Metro Manila.
One of the projects that the group is looking at is the proposed south-bound terminal project of the local government of Baguio City that would connect to the company’s multi-modal Paranaque Integrated Terminal Exchange.
Megawide is operating the Paranaque Integrated Terminal Exchange and is eyeing a similar project in the Visayas.
The government in December revoked Megawide’s original proponent status for its P109-billion proposal to rehabilitate and transform the Ninoy Aquino International Airport into a world-class gateway.
The share price of Megawide climbed 2.16 percent on Monday to close at P8.50.