Sun.Star Cebu

Tomas not authorized to sell SRP

Daluz says City hasn’t given mayor go-signal; Osmeña wants SRP ordinance amended

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City lawyer Joseph Bernaldez said yesterday the executive department will follow the regular process for the transactio­n

CEBU City Councilor and lawyer Jose Daluz III said that Mayor Tomas Osmeña has not been given an authority by the City Council yet to sell South Road Properties (SRP) lots.

His pronouncem­ent came after the City Legal Office chief said the mayor wants a portion of Pond F to be sold and they are already preparing the terms of reference for it.

Daluz, the previous head of the technical working group of City Hall's committee on awards, said he is not against the selling of SRP lots, but the executive department should get the council's nod first.

“Wa pa sila’y authority to sell now. The first thing they should do is ask the council for an authority to sell. I will not preempt the mayor's plan but my concern is that we'll have to look at the proposal,” he said.

Sought for comment, City lawyer Joseph Bernaldez said yesterday the executive department will follow the regular process for the transactio­n.

Osmeña, for his part, said he knows of the need for council authority but he wants City Ordinance 2332, the ordinance that protects SRP from unauthoriz­ed transactio­ns and dealing, amended.

The ordinance, which was passed in 2012, prohibits the mayor and other City officials from marketing, advertisin­g and selling lots at the 300-hectare property without securing council approval.

Bernaldez said his office did not get any instructio­ns from the mayor yet on what specific provisions in the ordinance he wants changed.

Details

In an interview yesterday, Daluz said the TOR, which will lay down the details on what portion of Pond F will be sold, how it will be sold and for how much, should be attached to the resolution seeking authority from the legislativ­e body to sell.

Asked when they will be able to finish the preparatio­n for the terms of reference, Bernaldez said they have no target date yet.

“But the sooner the better,” he said.

Daluz said he has no problem in the sale of SRP lots.

“My opinion really is that the SRP needs to be given to the private sector by way of selling most of the lands so we can gen- erate economic activities,” he said.

The councilor lamented that more economic activities would have started already at the SRP, particular­ly in the 45.2-hectare lot that were sold by the City Government last year.

But investors are apprehensi­ve in starting their developmen­t due an earlier pronouncem­ent of Osmeña that he wants the transactio­n revoked.

Of the 45.2 hectare property, 26 hectares have been sold to the consor-

tium of Ayala Land-Cebu Holdings Inc. and SM Prime Holdings Inc. while the 19.2 hectares were sold to the Filinvest Land Inc.

The deal was closed for P16.76 billion with the developers purchasing the lots at P35,000 to P38,000 per square meter.

Daluz said civil works in the purchase of lots would've started months after the holding of the closing mass for the Internatio­nal Eucharisti­c Congress last January at the SRP.

Daluz said rescinding the contract for the sale can be done provided that both the City and the developers involved will mutually agree on it.

“We cannot do it unilateral­ly. There should be a mutual agreement,” he said.

Revocation

The City Legal Office earlier said the works for the revocation of the contract have not started yet as they are still waiting for specific instructio­ns from the mayor.

During the campaign period, Daluz recalled, Os- meña “boasted” that he can sell the SRP lots for as much as P200,000 per square meter. He said he will support the mayor's move to sell SRP lots as long as he can find a buyer for such a price.

“I am willing to take that challenge. I will support him. Barogan na niya iyang hambog. I will even convince my colleagues in the council to support it. If iya gyong mabaligya sa ana nga presyo, why not? It will be good for the city,” he said.

Daluz is part of Team Rama whose members now compose the majority bloc of the council.

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