Cebu City Mayor-Elect To Revoke Sale Of 45.2 Hectares Of SRP Lot

Cebu City Mayor-elect Tomas Osmeña has said he wants to revoke the sale of 45.2 hectares in the South Road Properties (SRP) last year to three big developers once he assumes office.

He believes the sale, which the Cebu City Government awarded to the consortium of Ayala Land-Cebu Holdings Inc. and SM Prime Holdings Inc. and Filinvest Land Inc. last year, is questionable.

“As soon as I become the mayor, I’m going to formally oppose the sale of the SRP lots to Ayala, SM and Filinvest. Among other things, I believe it is highly dubious, if not outright corrupt,” Osmeña said.

Osmena said he wants the matter of pushing through the sale or not to be settled by the people of Cebu City through a referendum, saying they are the ones who own the SRP.

Osmeña said the sale of the SRP lots was anomalous because there was a “monopoly” during the bidding, with the developers allegedly agreeing on what property to buy.

Osmena accused Rama of conniving with the developers, an accusation denied by Cebu City Mayor Michael Rama.

Rama said he will discuss the matter with the Team Rama councilors who will form the majority bloc in the Cebu City Council starting on July 1.

“He is the one who is conniving. How can I be conniving when the sale is open bidding? He has never changed his position. He is just being consistent on bullying,” he said.

The city conducted the public bidding for the 45.2-hectare lot on June 30 last year.

Of that, 26 hectares were bought by the consortium of Ayala and SM, while 19.2 hectares were bought by Filinvest.

These companies bought the land for PHP35,000 to PHP38,000 per square meter.

The sale was closed for PHP16.76 billion.

In August last year, the city received the 50 percent down payment from three developers, which amounted to PHP8.35 billion.

The remaining 50 percent is supposed to be payable in three years, starting this year. (PNA) FFC/EB/EBP