• CHERYL G. CRUZ
Yellow caution tape surrounded stalls at the Manokan Country and nearby stores at Father M. Ferrero Street in Bacolod as personnel of the City Legal Enforcement Unit enforced the closure order July 16, in line with the planned redevelopment of the area.
This as tenants of the Manokan Country signed a letter of intent addressed to Mayor Alfredo Benitez, saying they have agreed to transfer to the temporary area at the SM north terminal hub, and will start processing their water and electricity connections.
“I will bring this letter to the mayor and then ma storya kami ni mayor kung mapasugot sya sang dialogue then ipatawag ko sila (tenants),” Councilor Celia Flor, chairperson of the Sangguniang Panlungsod Committee on Markets and Slaughterhouse, who met with the tenants around noon Tuesday, told reporters.
Flor said the tenants should stop operating until such time that they could talk with the mayor with regard their intention to transfer to the temporary stalls at the terminal hub.
But a few of the stalls remained open, as of 7 p.m. July 16.
The city said in a press release that the closure order “is part of the planned comprehensive redevelopment of the area by the Bacolod LGU, in collaboration with SM Prime Holdings Inc., aimed at providing a cleaner and more comfortable experience for customers.”
The Bacolod government has a 40-year lease contract with SM Prime to develop the city’s properties near the mall, including the Manokan Country, all with an aggregate area of 16,875 square meters, or 1.68 hectares.
The city had received the P131 million in advance rental from SM Prime Oct. 20 last year during the contract signing.
Section 2 of the contract ratified by the SP in April states that the lease for 40 years, “from the start of the commercial operations of the lease structures, which shall be evidenced by a written notice (from SM Prime to the city government), shall be automatically renewed for another 10 years,” provided that no substantial breach of its obligations is committed.
SM Prime shall develop and use the leased premises for mixed commercial use and/or for sublease to third parties. “All buildings constructed and improvements introduced, including equipment and other installations made by the lessee (SM Prime) on the leased premises shall remain as its property.”
SM Prime shall pay the city a monthly rental fee of P1,771,875 for the leased premises, or a minimum of P21,262,500 per annum, exclusive of VAT, subject to an escalation rate of five percent every three years, beginning on the fourth year of the lease, the contract added.
Meanwhile, the city said that to accommodate the tenants during the redevelopment of the iconic Manokan Country “into a future-ready tourist destination”, a temporary facility has been prepared by SM Prime. If they have no intention to transfer to continue their operations, the city will offer the vacant stalls to interested business owners.
The city will give priority to Manokan tenants who are compliant in paying their rent, although Flor said that, of the 24 tenants, around 10 failed to settle their arrears as per the initial compromise agreement with the local government. | CGC
