George Yang bags development contract for Ft Boni property

The Bases Conversion Development Authority (BCDA) awarded the development of the 25-hectare Lawton Parkway in Fort Bonifacio to Alliance Global Group Inc. (AGGI), the publicly-listed unit of Chinese-Filipino businessman George Yang.

BCDA President and chief executive officer Rufo Colayco in a letter to AGGI president Danilo M. Tutanes and AGGI first vice president Dina D. Inting said the company submitted the "best and most advantageous proposal to BCDA."

Colayco said AGGI will be required to execute a joint venture contract with BCDA for the Lawton Parkway not later than Sept. 1 this year.

AGGI offered cash inflows to BCDA with a present value of P2.375 billion, including a P942-million up-front cash. The secured cash inflows to BCDA reached P1.61 billion.

The company also committed to invest P5.86 billion in seven years.

AGGI bested other property giants like Ayala Land Inc. (ALI) and Robinsons Land Corp. (RLC).

ALI offered a bid of P1.7 billion and P300 million in committed investments, RLC tendered P1.4 billion and P460 million in committed investments. On the other hand, industry newcomer, JAD Holdings offered P1.1 billion and P236 million in capital investments.

All offers were for the joint venture development except for an additional RLC offer to purchase the property outright for P1.275 billion.

The property awarded to AGGI will primarily be for residential use but a retail development could be allowed provided it does not exceed the size and capacity of a neighborhood shopping center.

The coveted property called Lawton Parkway is bounded on the north and northeast by the C-5 Road, on the west by the American Memorial and on the south by the Socialized Housing Area.

AGGI is expected to implement other projects to complement the other developments at the Bonifacio Global City.

Lawton Parkway is near Market!Market!, the Ayala-led regional shopping mall development along C-5 Road.

Following the takeover of the Bonifacio Land Corp. by ALI and the Campos-owned Greenfiled Development Corp., this new development according to BCDA, is seen to revive confidence among property developers in the former military camp.

AGGI was formerly known as Anglo-Watsons Philippines Inc., engaged primarily in glass manufacturing. In 1998, the company changed its corporate name to AGGI with the Yorkshire Holdings Inc. as the major controlling shareholder. Yorkshire is engaged in the acquisition, investments and trading of assets and securities.

Today, AGGI is a holding company with various concerns development, sales and lease of real estate; maintenance and operations of hotels, restaurants, gyms, parlors; and research, development, marketing and distribution of technology and all technology-derived products and/or services.

Glass container manufacturing remains as the company’s core strength.