Why Cebu is an attractive location for multinational locators

As the world recovers from the economic impacts of the pandemic and lockdowns, Cebu remains to be an attractive business location especially for multinational locators.  
In its latest property report, KMC noted that commercial rents in Metro Cebu are beginning to stabilize and gradually improve as the sector transitions to the new normal. With a diversified real estate portfolio, impressive infrastructure, and ease of transport and access, local and foreign companies consider Cebu as its location for expansion. 
Diversified Real Estate Portfolio 
Metro Cebu’s main business districts, Cebu Business Park and Cebu IT Park are home to around 81,000 sq m of Grade A office spaces. Over the years, commercial developments have framed the Cebu City skyline, offering premium spaces for local and foreign business entities that want to relocate or expand outside Metro Manila and Luzon. 
Among the newest premium green buildings to launch this year in Cebu City is JEG Tower @ One Acacia. This 22-storey development was recognized as the country’s Best Commercial Green Building in 2020 and is a certified LEED Gold.

Impressive Infrastructure 
The Cebu-Cordova Link Expressway (CCLEX) is expected to bring more economic growth and assist in the pandemic recovery of Cebu City and its neighboring areas as the local government anticipates its completion during the first quarter of 2022. 
The 8.9-kilometer infrastructure project offers an alternative route for those coming from the Mactan-Cebu International Airport. It is the country’s largest water-crossing infrastructure, built with a navigational clearance to allow larger vessels to safely cross underneath the bridge. 

Business leaders in Central Visayas have also expressed their optimism over the socio-economic benefits of CCLEX to the province and the whole region once it starts operating this year. Both local business leaders and multinational locators say the economic benefits that will enable Cebu to bounce back economically and start have ripple effects that will be felt across the Visayas. 
READ MORE: CCLEX to aid economic recovery in Cebu in 1Q/2022 

Ease of Transport & Access 
The Mactan-Cebu International Airport is the main entry and exit point in Cebu City. This development is also the second busiest international airport in the Philippines that serves the majority of Metro Cebu and the Central Visayas region. 
Its international terminal, Terminal 2, started operations in 2018 and has significantly increased the capacity of the airport to 12.5 million passengers per year. In 2019, the new design of this terminal won an award under the “Completed Buildings – Transport” at the World Architecture Festival. 
Interested in expanding to the Visayas? Locate in the best place to work in Cebu City. Get in touch with Gerold Fernando at (+63) 917-565-3547 or send an email to jeg@kmcmaggroup.com for more details.  
Discover how JEG Tower @ One Acacia revolutionizes work and life balance today. 

PEZA Benefits in Cebu City

Cebu is one of the most ideal business locations for multinational companies who want to tap the regional market in the Philippines. Given its strategic geographic position, Cebu City is the Visayan economic center offering a rich real estate portfolio of commercial and retail developments.

With the government and private business sector’s support, Cebu has established itself as the main economic stronghold in the Visayan region, making it one of the key cities in the Philippines that can accommodate large-scale operations and adapt to their modern technological needs.

Complementing its bustling tourism industry, continuous infrastructure development, and a fresh pool of labor force, Cebu is an ideal option for local and international businesses. It is also one of the top destinations for IT companies, manufacturers, KPOs, and BPOs, recognized as a leading tech hub and a top destination for the call center industry.

RELATED: Choosing the Best Office Location in Cebu City

Why locate your business in a PEZA accredited building?

Even before the pandemic, many foreign companies have been investing in the Philippines for offshoring and outsourcing jobs to cut operational costs and tap a larger market. To encourage more foreign investment, the government provides benefits and incentives to foreign entities through the Philippine Economic Zone Authority (PEZA).

Companies located in IT Parks and special economic zones enjoy a list of incentives and benefits provided by PEZA. These benefits help companies to get the best return on their capital and investments.

Fiscal Incentives

  • Income Tax Holiday (100% exemption from corporate tax for n number of years) 
  • Tax-free & duty-free importation of capital equipment and raw materials 
  • Exemption from wharfage dues and export tax, impost, or fees 
  • VAT zero-rating of local purchases*  
  • Exemption from payment of all local government imposts, fees, licenses, or taxes 
  • Exemption from expanded withholding tax 

* Subject to compliance with requirements

Non-Fiscal Incentives

  • Simplified Import-Export Procedures  
  • Potential employment for non-resident foreign nationals*  
  • Issuance of Special Non-Immigrant Visa with Multiple Entry Privileges for non-resident foreign nationals 
  • Extended visa facilitation assistance to foreign nationals their spouses and dependents 

*Investor/s, officers, and employees in supervisory, technical, or advisory positions, and their spouses and unmarried children below 21 years old

JEG Tower is now PEZA accredited!

JEG Development Corporation’s maiden high-rise commercial development is now Cebu City’s newest PEZA Accredited premium building. This 22-storey tower is 2020’s Best Commercial Green Development, recognized by the PropertyGuru Philippines Property Awards. It was also shortlisted as the Best Office Development in the same year.

For more information on leasing, contact Lorenzo Rodriguez at (+63) 917-852-6884. You can also send us an email at info@kmcmaggroup.com or reach out to us at (+63) 2-8403-5519.