His turn to sell a part of the SRP

WHEN he was the mayor years ago, this “former has-been politician” sold South Road Properties (SRP) lots at P9,000 per square meter with the city paying capital gains tax. SM Seaside and Filinvest condominiums now stand in these lots. He was in the US at that time and was about to undergo operation for cancer. For suspicious reasons, he went home to complete the sale despite his physical condition.

When Mike Rama was mayor, he tried to block the mayor's attempt to dispose a portion of the SRP. Using his minions at the City Council, a resolution was passed prohibiting the sale of SRP lots unless some conditions were met. They claimed that the appropriate time to dispose of the lots was when SM and Filinvest had fully developed the area, as the prices of the adjacent lots would go higher.

But Rama outmaneuvered and outsmarted his political opponent and successfully negotiated the sale of SRP lots with the country's three big and leading real estate developers. Through the regular bidding process, City Hall earned some P16 billion from the sale, with P8 billion advance payment and the balance paid through installment for the next three years. The P8 billion is now in the city's coffers.

However, Mike was not able to use the funds as BOPK stalwarts refused to appropriate these supposedly because of a civil case filed by a certain Romulo Torres, who asked the court to prohibit the former mayor from using the money. He feared that Mike would use the money to get political advantage especially that the elections were approaching at that time.

Torres was reportedly used as a “pawn” by this “former has-been politician.” Had Mike been allowed to spend the money, City Hall's financial obligations to the Japan Bank of International Cooperation (JBIC) for the development of that SRP could have been “wiped out.” The amount was more than enough to pay the city's principal loan and its interest.

Before he could even assume office after winning the May 9 elections, this “former has-been politician” announced that he would revoke the sale because the deal was anomalous, as there was “monopoly” during the bidding. He preferred unsolicited proposal.

See how this person operates? He wants to “shake” this aboveboard and legal transaction just to get back at his opponent. Or was this because he was not the one who made the deal? Why “revoke” the contract when everything was above-board? The three leading real estate developers that bought the lots are very respectable in the industry. I don't think they will gamble their reputation in an anomalous deal. Nagtoo kaha mo nga mo- okay lang ni sila kun dunay mga binuang sa maong transaksyon?

Why not honor the deal? If he “shakes” this transaction by threatening the parties involved, this will send a wrong signal to other investors. Who would like to invest in Cebu if that is the attitude of our politicians? He is now the mayor and he can use the proceeds from the sale to implement his programs and projects. All he has to do is to “order” Torres to withdraw the case. That's it.

Now he is planning to sell another portion of the SRP, Pond F, just to generate revenues for the city. I don't know where Pond F is in the 300 hectares SRP and what ideal investment to put up there. The lot is estimated to generate P1 billion.

Okay fine. But where is his earlier stand that we will wait for SM and Filinvest to fully develop their areas before the City should dispose another parcel of land because the prices of the adjacent lots would go up? I think SM is already developed because it is now fully operational. As for Filinvest, it is still constructing buildings. Why can't we wait for additional years until the SRP is fully developed?

Why did it suddenly come to his mind now to dispose another lot at the SRP? Because he is now back at City Hall and will be in the front line in the negotiations?

The reason why this “former has-been politician” was raring to run again for mayor despite his defeat in 2013 and serious physical condition was not because he wanted to serve the Cebuanos. His concern was to protect the SRP because he considers it as his own personal property. Hala inigkamatay ninyo, dad-a unya nang SRP sa langit.