Ayala vs SM: CA halts sale of Bacolod property to Ayala Land

The Court of Appeals has halted Negros Occidental provincial government from proceeding with the sale and lease of a prime property in Bacolod City to Ayala Land Inc. In a statement to the Philippine Stock Exchange, SM Prime confirmed that the Court of Appeals has come out with a 60-day temporary restraining order against the sale and lease of a 7.7-hectare property in Bacolod City. SM Prime has questioned the deal before the CA, claiming that it won the July 7 public bidding for the property. Earlier this week, Ayala Land Inc. has been awarded the right to purchase and lease a 7.7-hectare lot in Bacolod City, the developer said Monday. In a statement to the Philippine Stock Exchange, Ayala Land said it has "completed the successful negotiations" for the development of a 7.7-hectare property located in San Juan St., North Capitol Road in Bacolod City. Under the terms, Ayala Land was awarded the right to purchase 3.66-hectare of the Provincial Capitol Property, and to lease the remaining 4.04 hectares for a period of 50 years. Ayala Land said it would need about P6 billion for the planning and construction of an integrated mixed-use civic and commercial district that will combine the center of government with commercial and residential uses. The property company also said that the proposed development of the property would align with the "sustained cultural, civic and economic ideals of the provincial government and of the entire province of Negros Occidental." SM Prime, on the other hand, described the award of the property to Ayala Land as illicit as a case has been filed by SM Prime regarding the property. SM Prime claimed that it submitted a better bid than Ayala Land’s in the July 7 bidding, which was later declared a failure. -- CMA/OMG, GMA News