The Supreme Court has upheld the legality and enforceability of a Joint Venture Agreement (JVA) between GlobalCity Mandaue Corporation (GMC) and the Mandaue City Government, paving the way for a long-delayed 131-hectare reclamation and urban development project in Cebu.
The high court's ruling affirms earlier decisions by the Pasig Regional Trial Court and the Court of Appeals, which had directed both parties to implement the Contractual Joint Venture Agreement (CJVA), signed on 7 January 2014, in good faith.
The GlobalCity Mandaue Project, described as one of the most ambitious reclamation initiatives in the Visayas, aims to transform a portion of the Mactan Channel — near the Marcelo Fernan Bridge and along the coastlines of Barangays Paknaan and Umapad — into a mixed-use estate.
The development is planned to include commercial centers, residential communities, industrial zones and tourism facilities, intended to boost regional growth and economic activity.
The agreement was originally executed by the City of Mandaue and Sultan 900 Inc., a business group, and later implemented by GMC. Project mobilization began in 2016 with the deployment of equipment and personnel.
However, progress stalled due to the Mandaue City Government's failure to secure key environmental and regulatory permits, leading to a nearly decade-long legal dispute.
The Supreme Court's decision is seen as a decisive victory for public-private partnerships and infrastructure-led development, reinforcing the binding nature of the CJVA and compelling both parties to fulfill their obligations without further delay.
Atty. Hans Santos, legal counsel for GMC, lauded the ruling.
"We welcome the Supreme Court’s affirmation of our agreement," Santos said. "GMC is ready to resume work with the City Government of Mandaue and relevant agencies to bring this transformative project to life."
He added that the decision "clears the path for sustainable urban growth, job creation, and enhanced economic competitiveness — not just for Mandaue City, but for the entire Central Visayas region. We are committed to delivering a world-class development that uplifts communities and drives national progress."
With the country's highest court providing final clarity, the GlobalCity Mandaue Project is now poised to move forward, potentially ushering in a new era of infrastructure, investment and inclusive development for the Cebu metropolitan area.