No negotiated sale yet for airport site
The city is open to the idea of selling the old airport site in Mandurriao district by negotiated sale if the bidding for the old airport site fails the second time.
This was the statement of City Mayor Jerry Treñas when asked on what to do next after the first bidding failed recently.
Treñas said the government could still use other options before jumping to a negotiated sale. The negotiated sale will also be subject to the approval of the Commission on Audit (CoA).
The government is eyeing to sell the property for P2 billion.
However, the highest bidder wants to buy the property for P1.08 billion. In the first failed bidding, Robinsons Land has a bidding price of P1.08 billion, Empire East P701 million and SM Prime Holdings for P435.791 million. The government hopes to have a higher bidding price in the second bidding which has yet to be scheduled.
With the offer made by Robinsons, Treñas said the property sells at P2,000 per square meter. He said it is already a reasonable price considering that the property is very wide. The winning bidder needs also big amount of money to develop the area. As rule of thumb, they have to gain five times from their investment.
The chief executive is positive that the Mandurriao airport site will be sold. There are only concerns that the bidders want to thresh out. The concerns include the presence of squatters, unpaid city tax and untitled portion of the property.