Property Developer Sets US$33 MLN for Iloilo Airport Upgrading
Wednesday 04/10/2017 - Source: Ame Info
MANILA, Oct 3 Asia Pulse - Philippine real estate developer Megaworld Corp. announced that it is allocating an initial P1.5 billion (US$33 million) to rehabilitate, upgrade and develop the old airport in Iloilo.
"The company estimates to spend around P1.5 billion in initial development costs [of the Iloilo] airport," Megaworld Corp. said in a disclosure to the Philippine Stock Exchange (PSE) on Wednesday. The initial amount will be used to construct a hotel, convention facilities and business process outsourcing (BPO) building in the Mandurriao airport.
Megaworld sealed the agreement for the 54.5 hectare property of the government valued at P1.2 billion on October 1, 2017.
The government bid out the Iloilo airport facility earlier with five bidders allowed to participate.
However, the bidding was declared a failure after three of the five bidders namely: Robinsons Land, Empire East and SM Prime Holdings, offered lower than the amount set by the Department of Finance.
Two bidders - the Ayala Land and Rockwell land - did not participate in the bidding.
Because of the bidding failure, Megaworld entered into a negotiated deal with the government and paid the P1.2 billion price.
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