Ahead of the Christmas holidays, cooler breeze is now blowing over the McKinley West complex in Fort Bonifacio after the group of property tycoon Andrew Tan and the state-controlled Bases Conversion Development Authority (BCDA) resolved their dispute over their 34.5-hectare joint venture at the former Jusmag site.
Our sources said that Tan-led Megaworld had agreed to remit within the next few days P874 million in obligations to the BCDA that fell due in April this year. To recall, Megaworld withheld settlement of this year’s arrears, citing the BCDA’s delay in clearing of informal settlers in the area. For its part, BCDA has relocated all 500 households that previously hindered development in the area, thereby addressing Megaworld’s concern on “deliverables” that were not fulfilled.
The obligations represent the annual payments committed to BCDA when Megaworld won the bidding for the right to develop the Jusmag property in 2010. This brought to more than 100 hectares the total development portfolio of Megaworld in Fort Bonifacio.
Meanwhile, industry sources said Megaworld might be interested in further expanding its Fort Bonifacio landbank and was closely awaiting the outcome of BCDA’s legal battle with tycoon Henry Sy’s property unit SM Land over the privatization of a 33-hectare piece of prime property at the southern edge of the former Fort Bonifacio army camp.
The BCDA, with the backing of a Malacañang directive, wants to bid out this property but SM Land, which had submitted an unsolicited proposal to develop the area during the previous administration, is seeking recognition as an original project proponent. This means that instead of a public bidding, the privatization of development rights must be subjected to a Swiss challenge wherein other parties can submit an improved offer, but SM Land can match the best alternative offer. Doris C. Dumlao
Business and politics
Here’s an interesting piece of gossip from the political grapevine. One source tells us that a business tycoon had lunch with Vice President Jejomar Binay. Over what could only have been a delicious meal, the businessman offered to underwrite the costs of the VP’s looming campaign for the Presidency in 2016 (an increasingly expensive undertaking nowadays, we understand). The VP, naturally, was all ears.
So what’s the catch? I pay for everything… but make me the VP on your 2016 ticket, said the businessman.
“Whoopsie,” the current VP thought to himself. “If I accept this, his business rivals—and there are a number of them—will instantly become other candidates’ campaign contributors.”
We can only imagine that it must have been difficult for the pragmatic current VP to politely turn down the billions that the businessman/VP aspirant had to offer. Daxim L. Lucas
Over $1M for Yolanda
American banking giant Citigroup, after launching a global appeal to clients and employees to support the victims of Supertyphoon Yolanda a month ago, has pooled more than $1 million for relief and rebuilding efforts. The bank has pledged these contributions to the Philippine Red Cross, American Red Cross and Gawad Kalinga.
In addition, Citi Foundation announced plans to double its annual grant investment in the Philippines for 2014 to more than $500,000. Additional resources target longer-term rebuilding and livelihood restoration programs.
The Monday after Supertyphoon Yolanda, Citi Asia Pacific chief executive officer Stephen Bird led a fund-raising campaign. Citi’s Asean Equities business, for one, responded to the appeal by donating all commissions from equity sales and trading operations in Asean on Nov. 13 to the Philippine Red Cross, raising a total of $500,000.
“The pledges of support from Citi employees around the world have been simply overwhelming,” said Batara Sianturi, Citi country officer for the Philippines.
Citi cardholders can donate to relief operations using their Rewards Points and Air Miles with the Philippine Red Cross as beneficiary (1,000 Rewards Points is equivalent to P100 donation). They can also donate via Citi Mobile by sending donations through SMS for the benefit of community partner, ABS CBN’s Sagip Kapamilya Foundation.
Similar to concessions made when previous disasters struck, Citi Philippines also announced the extension of a debt payment relief to clients from the affected regions. Affected Citi cardholders were granted a 60-day payment extension and late payment charges will also be waived. Doris C. Dumlao
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