The Cebu City Council has postponed a critical decision on the Cebu Bus Rapid Transit (CBRT) project, citing significant legal and property issues that could impact the city's joint venture with Filinvest Land Inc. During a session on Monday, February 23, 2026, councilors deferred a request from the Department of Transportation (DOTr) to expedite construction of a 2.70-kilometer loop within the South Road Properties (SRP). This delay threatens to derail the project's timeline, as the World Bank loan funding the initiative is set to expire in September 2026.
Legal and Property Hurdles Halt Progress
Councilors emphasized that the proposed loop, which includes four bus stations and dedicated lanes, would affect approximately 10,223 square meters of land. Of this area, 8,726 square meters fall within the joint venture zone with Filinvest Land Inc., raising concerns about potential encroachment and legal liabilities. In response, the council referred the matter to committees on budget and finance, transportation, and laws for further review, instead of granting an immediate "No Objection" clearance.
Urgent Warnings from Transportation Officials
In a letter dated February 20, 2026, Transportation Undersecretary Mark Steven Pastor warned Mayor Nestor Archival that completing SRP Stations 4 and 5 is urgent to meet the September deadline for the World Bank loan. Pastor stressed that further delays could jeopardize the funding essential for the overall P28.78-billion system, stating, "Ensuring these stations are operational before the loan period ends is essential for project continuity." The DOTr has also requested the reinstallation of bollards and curb separators removed in early 2025, along with road widening and elevation adjustments to align with the SRP Drainage Masterplan for flood control.
Political Opposition and Project Scope Adjustments
Adding to the project's challenges, Vice Mayor Tomas Osmeña, the original proponent of the CBRT, voiced strong opposition to the current alignment. He argued that the project has deviated from its intent to serve lower-income commuters in areas like Bulacao and Talamban, now favoring commercial hubs such as SM and Ayala. Osmeña vowed to oppose any grant of city property unless the original 25-kilometer alignment is restored.
To minimize the impact on the joint venture lot, the DOTr has already reduced a section of the Cebu South Coastal Road from two lanes to a single mixed-traffic lane. Additionally, the agency is seeking temporary use of an open space provided by the Department of Public Services as a stacking and storage area for construction materials, due to current facility limitations.
Upcoming Review and Future Prospects
Councilor Nyza Archival moved to require the SRP Management Office to provide a copy of the joint venture agreement with Filinvest and requested technical evaluations from the City Planning and Development Office. A joint hearing is scheduled for Friday, February 27, at 9 a.m. to address these concerns. Despite the friction at the SRP, Transportation Secretary Giovanni Lopez confirmed that CBRT Package 1, stretching from the Cebu South Bus Terminal to Fuente Osmeña, is still expected to open by March 2026, serving an estimated 34,000 passengers daily.
