By Ayen Infante
03/15/2008 [ tribune.net.ph ]
The Bases Conversion Development Authority (BCDA) has junked the unsolicited proposal submitted by China’s property giant Shimao Group for the development of two prime lots inside the Global City in Fort Bonifacio due to the failure of the National Economic and Development Authority (Neda) to issue guidelines on contracts and joint ventures entered into by the government.
BCDA vice president for business development Aileen Zosa explained that the board was forced to drop the proposal of Shimao due to the absence of clear guidelines from Neda.
She added the guidelines should provide a clear policy on government contracts and joint ventures which Executive Order (EO) 423 calls for.
EO 423 was issued as early as 2005 but since then, no guidelines were made and completed by the Neda, which Zosa said until now is making consultations on the matter.
Zosa explained the Neda guidelines should include a prescribed Swiss challenge process for unsolicited proposals, which means business offers outside of a public bidding process.
But Zosa clarified that although the board could not entertain the unsolicited offer of Shimao Group, the Chinese property firm is always welcome to join in the regular bidding process.
“The Shimao Group is most qualified and processes the financial and track record to compete for the development of any property in Fort Bonifacio.”
Shimao has proposed to invest in the 7-hectare North Bonifacio lots and the 35-hectare Jusmag property. The Chinese group wants to engage in mixed-development projects for both properties.
BCDA had said Shimao has proposed to spend as much as $2 billion in major real estate project in Fort Bonifacio including the construction of luxury hotels.
