In separate disclosures to the Philippine Stock Exchange, Megaworld and AGI said they have agreed to undertake a 50-50 joint development of the 25-hectare Lawton Parkway in the former military camp into a residential, commercial, institutional and leisure complex.
Earlier this month, the Bases Conversion Development Authority (BCDA) awarded the right to develop the Lawton Parkway to AGI for a bid price of P2.375 billion.
Under the memorandum of understanding, AGI and Megaworld will provide in equal contributions, financing for the development of the project as well as the payment of all guaranteed revenues to the BCDA.
Megaworld shall oversee, supervise and manage the development of the project and shall be designated as its exclusive marketing agent under such terms and conditions as may be agreed upon by AGI and BCDA in their joint venture agreement.
BCDA, the state agency overseeing the development and privatization of the government’s military bases, will maintain an interest in the project, similar to its agreement with the Bonifacio Land Corp.
Megaworld is taking part in the development of the 25-hectare project consistent with its favorable view of the fundamentals and outlook of the Philippine real estate industry. As one of the country’s foremost property developers, Megaworld is well positioned to undertake community developments on a massive scale designed to benefit a truly wide client base.
AGI said it is banking on Megaworld’s experience in developing large-scale multi-purpose communities in pursuing the Lawton Parkway project.
Last year, Megaworld launched various projects such as the Eastwood Palazzo Towers 1 & 2 and Eastwood Parkview Towers 1 & 2 in Quezon City and Forbeswood Heights Towers 1, 2 & 3 in the Bonifacio Global City.