BCDA slated to sell 5 prime Boni lots
BCDA slated to sell 5 prime Boni lots
Friday, December 14, 2007
http://www.mb.com.ph/BSNS20071214111519.html
The Bases Conversion Development Authority (BCDA) has scheduled the disposition of five prime lots in Fort Bonifacio next year with projected revenue generation of P7.275 billion over a period of time.
BCDA president Narciso Abaya said the five lots with a combined hectarage of 18.3 are the expanded Big Delta (formerly the Government Center for Investments (GCI), Villamor Driving Range, North Bonifacio, NCBD and PA SEG.
Except for the Villamor Driving Range and PA SEG, which would be disposed on a straight sale basis, the three others would be for joint venture and lease schemes.
Most notable in these properties is the Expanded Big Delta, which bidding had already failed twice. The 12,036 square meter property is expected to fetch P1.93 billion in revenues.
Abaya said the BCDA Board has agreed to remove the condition among bidders that they come up with a substitute credit facility.
It could be recalled that BCDA has mortgaged the property to local banks to cover for the P4 billion capital requirement for the construction of the SubicClark-Tarlac Expressway.
But since, the Japan Bank for International Cooperation has already to a supplemental loan agreement the BCDA did not see any need for the loan from the local bank
“The substitute credit facility has been the most contentious issue during the two failed biddings,” Abaya said.
According to BCDA vicepresident for business development Aileen Zosa also explained that while BCDA can relax this requirement, they cannot lower the price of the property at P160,000 per square meter for a floor area ratio of 12 because of its prime location.“We don’t want to compromise on the price and we figure there will be better conditions next year,” Zosa said.“The property is designed for AAA development because it is just beside the proposed new Philippine Stock Exchange building and Shangri-la hotel so the development must blend with the kind of development in that area,” Abaya said.Abaya further said that even as they are allowed under the law to conduct a negotiated sale after the two failed bids for the Big Delta property, they have to do another competitive public bidding to avoid any speculation.
“This a big and high-value property and we have to avoid any speculation so we are predisposed to go for a public bidding for the third time next year,” he said.
New interested bidders to the property include an Austrian firm, which is building iconic The Waltz building across St. Lukes in Fort Bonifacio.
The 67,000 square meter NCBD lot, which is located north of Bonifacio and near the S & R property, is expected to contribute P3 billion in projected revenues to the BCDA of which P700 million would be paid upfront cash.
The NCBD property has an appraised value of P85,000 per square meter.
For the 70,000 square meter North Bonifacio lot, a raw land, the BCDA expected a revenue share of P2 billion with P700 million upfront cash.
The Shimao Group of China is expected to submit its feasibility study for the property before of this year after which the BCDA would subject it to a Swiss Challenge.
“The action is in North Bonifacio now where Metrobank is constructing new roads and its iconic 66-floor Tower,” Zosa said.
The 21,463 square meter PA SEG property is expected to chip in P150.24 million to BCDA while the 13,000 square meter Villamor Driving Range, which is designed for mixed-use development may raise P195 million for the BCDA.
Other properties for disposition inside the Fort Bonifacio include the SHAI/JUSMAG (355,042 square meters), NOVAI (258,406 square meters) and ASCOM/BNS/Marine headquarters (331,327 square meters).
Outside of the Fort Bonifacio, the BCDA has yet to privatize the Camp Melchor in Libis and Fort Abad in Roxas Boulevard, which houses the Philippine Navy headquaters.(BCM)
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