Government to bid out Japan lot again

MANILA, Philippines - The government will again attempt to bid out its real estate property in Fujimi Cho, Chiyoda Ku, Japan in the latter part of the year, Finance Undersecretary Crisanta Legaspi said yesterday.

 “We are looking at the last quarter of the year,” she told reporters yesterday.

The government has been trying to bid out the property the past several years but has not been able to do so due to administrative issues.

Legaspi said the property would be leased out for 50 years but the government will require bidders to pay upfront cash upon award of the contract.

Nine firms earlier submitted prequalification documents for the lease and development contract of the 4,361-square meter Fujimi property worth at least P3 billion.

This developed as Legaspi said the government is unlikely to privatize this year its Nampedai property, another real estate asset in Japan, this year due to legal setbacks.

 “We will focus on the other assets for now,” she said.

The privatization of the 2,489-square meter property in Tokyo, Japan has been terminated.

The supposed contractor for the project allegedly committed fraud. 

Government investigations established that there is sufficient evidence to prove that the eligibility documents submitted to the Bids and Awards Committee (BAC) by the purported winning bidder – the Nagayama Architects Co. Ltd.  And Taisei Corp. consortium.

“In the absence of properly notarized documents proving the existence of the consortium between Nagayama Architects Co., Ltd. and Taisei Corp., there is no legal basis to award the project to the consortium. Therefore, the award of the project to NTC, a non-existing consortium, is null and void,” said Acting Justice Secretary Agnes Devanadera in a letter to the DOF.

Urban Corp. – the original winner of the bidding – has questioned the awarding of the contract before local courts. The contract was awarded to Nagayama Taisei after it amended its financial bid.

The DOF has yet to make a decision on the matter.