• CHERYL G. CRUZ
SM Prime Holdings (SMPH) is proposing a monthly rental fee of P1.77 million for several properties of the Bacolod City government, including the Manokan Country and BAYS Center, as per a draft lease agreement received by the Sangguniang Panlungsod Oct. 2.
On the date of the signing of the agreement, the lessee (SMPH) shall pay the lessor (Bacolod LGU) P131 million in advance rental, the draft proposal, endorsed by Mayor Alfredo Benitez to the SP, in a letter dated Sept. 28, states.
The proposed lease and development will involve an aggregate area of about 16,875 square meters, where the Manokan Country, Vendors’ Plaza, Bacolod Youth and Sports (BAYS) Center, and other city structures at Fr. M. Ferrero Street, are located.
As per the proposal, SMPH’s minimum cost of investment in the leased premises is P3 billion.
“The term of the lease shall be for 40 years, from the start of the commercial operations of the leased structures,” it said, adding that “SMPH shall develop and use the leased premises for mixed commercial use and/or for sublease to third parties”.
Benitez has asked the SP to conduct a public consultation/hearing on the proposal, pursuant to City Ordinance 854-2018, or the Bacolod City LGU P4 ordinance.
The SP committees on Laws, Ordinances and Good Government, and on Markets and Slaughterhouse, in the regular session Oct. 3, jointly accepted the draft lease agreement, and said that they will call for a public hearing soonest. | CGC
