Gov. Alfredo Marañon Jr. said the bidding for the purchase and lease of 7.7 hectares of prime property owned by the Negros Occidental provincial government in Bacolod last week has been declared a failure, and SM Prime Holdings and Ayala Land yesterday agreed to submit their proposals for a negotiated bidding on Friday.
It was declared a failure of bidding because both SM and Ayala failed to meet the floor price set by the provincial government of P19,500 per square meter.
“We will ensure that the winning bidder will offer what is most advantageous to the province and Negrosanons. This will be the biggest investment in the province so far, and it will definitely change the landscape (of Bacolod City),” the governor said.
The development plan of the winning bidder must also conform to the cultural and aesthetic requirements of Negrosanons, how the proposed development will look will be one of the considerations, he said.
Marañon, who met with representatives of the two firms yesterday, said the winning bidder will be decided by the provincial government’s Committee on Awards and Disposal of Property.
At the bidding on July 7, Ayala Land had proposed a P6 billion development of the area while SM said it had a P2 billion plan, Marañon said.
The Capitol property up for lease and sale consists of 7.7068 has. along Lacson Street, North Capitol Road and Aguinaldo Street in Bacolod City.
Marañon said 3.6 hectares of the property is up for sale, while 4.1 has. directly surrounding the Capitol area is up for lease.
Ayala Land has initially said it plans to invest P6 billion for the construction of a convention center, a hotel, business process outsourcing buildings, and a shopping mall, the governor added.
In May, SM Prime Holdings Inc. officials, who were accompanied by Rep. Alfredo Abelardo Benitez (Neg. Occ., 3rd District), offered to buy or lease the property.
“We submitted an unsolicited proposal to build two hotels and convention center on property owned by the provincial government behind the Capitol. The initial estimate of investment is about P2.5 billion,” SM Prime Holdings president Hans Sy said then.*CPG