Gov’t revives Swiss challenge for 33-ha BGC property

The Duterte administration is relaunching next month a competitive bid process for a 33.1-hectare parcel of land south of the Bonifacio Global City business district in Taguig.

Inquirer sources briefed on the plans said the Bases Conversion and Development Authority (BCDA) would proceed with the Swiss challenge for the 2010 offer of SM Land Inc. for the Bonifacio South Pointe property.

The issuance of the new terms of reference could come as early as Sept. 4, with the deadline for rivals to submit better offers targeted around Oct. 23 this year.

The BCDA hopes to wrap up the entire process, including contract signing, by December this year.

SM Land, a subsidiary of property, retail and banking conglomerate SM Investment Corp., had initially offered an upfront cash payment of P2 billion upon signing of the contract and secured yearly revenues amounting to P25.9 billion over 20 years. This gave the land a net present value of P36,000 a square meter.

The BCDA required the winner to invest another P20 billion over the 20-year concession period.

The Swiss challenge process, which lured the interest of builders such as Ayala Land Inc., Megaworld Corp., Filinvest Land Inc., Robinsons Land Corp. and Rockwell Land Corp., was scrapped during the Aquino administration in 2012.