Unlocking the potential of Laoag City
If you’re scouting for ideal investment or travel destinations, look north to Laoag in Ilocos Norte—dubbed the “Sunshine City” of the Philippines.
Spanning 116 sq km, this coastal component city was first occupied by the Spaniards in 1572. Its name was derived from an Ilocano term that means “the place of light or clarity.”
Now a dynamic growth center in the north, Laoag is the province’s political, commercial, and industrial hub.
Dynamic growth center
Laoag’s economy is primarily agriculture-based, producing rice, tobacco, and garlic. Artisanal crafts like pottery, blacksmithing, furniture making, and weaving are also thriving here.
Over the years, tourism has become a major economic driver of Laoag City, as it offers panoramic views, lush vegetation, as well as historical and heritage sites. This paved the way for new commercial investments and infrastructure development in the province.
In 2024, the city government initiated its first Laoag City Shine Awards to recognize outstanding tourism stakeholders, who played a vital role in boosting the industry.
Among those awarded are the “kutseros” (drivers of horse-drawn carriages), tour guides, and hotel and restaurant owners.
Jump off point
Laoag also serves as a jump-off point to other tourist destinations in Ilocos Norte, making it a gateway to the North Luzon Tourism Hub or what is known as the Growth Quadrangle. It is where bus stations, and jeep and van terminals going to other municipalities of the province are located.
What further makes it highly accessible even to international tourists is the Laoag International Airport, which was built by the Americans before World War II. Today, it stands as a secondary or alternative international airport by the Civil Aviation Authority in the Philippines (CAAP).
Laoag International Airport currently has flights to and from Hawaii, San Francisco, Los Angeles, Hong Kong, Taiwan, Guangzhou, Shenzhen, Macau, and Korea available.
In 2021, the Laoag International Airport was upgraded to expand its passenger capacity and rehabilitate the runway. In January this year, the Department of Transportation (DOTr) announced a P750-million budget allocation to further develop and expand the airport.
Full potential
With a thriving tourism sector and enhanced connectivity, Laoag is clearly on track to fulfill its development potential, evidenced by recent investments from some of the country’s top companies.
In October 2024, Megaworld Corp. announced plans to develop Ilocandia Coastown, an 84-hectare township development in Laoag City. The property giant said it was investing P15 billion in this project, which will feature a 1.4-km beach line, upscale residential developments, shophouse and commercial districts, and a town center with “Filipino and Spanish heritage design.”
On May 30, SM City Laoag opened its doors, featuring three levels with over 51,000 sqm of gross leasable space. It houses several SM brands, including SM Store, SM Supermarket, SM Cinema, Pet Express, Miniso, and BDO.
In April 2023, the Sy family-led SM Prime revealed agreements to build new hotels with American hotel chain Radisson Hotels Group. One of the several locations then identified was Laoag City.
Sources: Inquirer Archives, pna.gov.ph, laoagcity.gov.ph, britannica.com, visitmyphilippines.com, philatlas.com
