Court of Appeals's final ruling: Pasay can't sell off CCP lots

MANILA, Philippines - The Court of Appeals (CA) has permanently stopped the Pasay City government and the Republic Real Estate Corp. from selling the lots within the Cultural Center of the Philippines (CCP) Complex over the government’s alleged failure to pay the reclamation costs made by RREC.

In a 15-page ruling dated Feb. 27, 2009, the former fourth division of the appellate court granted the petition filed by the Philippine government through the Office of the Solicitor General (OSG) seeking to declare null and void a May 8, 2007 writ of execution for the auction of two CCP lots issued by Pasay City Regional Trial Court Branch 109 Judge Tingaraan Guiling and the sheriff’s notice of execution and notice to pay dated May 11, 2007.

In the same decision penned by Associate Justice Sesinando Villon and concurred by Associate Justices Andres Reyes Jr. and Jose Catral Mendoza, the CA upheld its earlier decision on the writ of preliminary injunction as permanent.

The CA agreed with the Philippine government that an execution “should conform to the dispositive portion of the decision to be executed, and the execution is void if it is in excess of and beyond the original judgment or award.”

The CA declared that the SC’s 1998 decision was categorical and unequivocal in its language when it ordered the national government to pay the respondents only P10,926,071.29 plus six percent per annum from May 1, 1962 until full payment. Guiling earlier ordered the national government to pay P49.17 billion.

The CA said the notices issued by the lower court were issued with “grave abuse of discretion, which this Court must correct.”

CCP chair Emily Abrera welcomed the decision, saying “it’s quite timely, as we are celebrating our 40th year. What a great way to mark our anniversary!”

She added that they “look forward to building a more robust future for Philippine culture and the arts.”

In June 2008, the Pasay City government auctioned off to RREC 23.89 hectares, covered by two lots in CCP’s name, located in Pasay and Manila. The sale included part of the 55 hectares of prime property whose ownership has been contested by RREC and Pasay City since 1997. However, the SC ruled with finality in favor of the national government and the CCP in November 1998. The lands are presently occupied by Boom na Boom and the Ipil-Ipil area, extending up to the Manila Film Center.

The CCP’s 23.89-hectare lots are part of the Clusters 3 and 4 of the Business and Master Development Plan for the CCP Complex drawn up by the Planning Resources and Operations Systems, Inc., the firm tasked with the development of the plan. The plan – which covers 60 hectares of land available for development, is the framework for a comprehensive artistic, cultural, ecological, commercial and tourism development to develop the CCP Complex into a cultural and tourism landmark not only in the Philippines, but also in Asia.

Cluster 3 or the mixed-use area will accommodate an office bloc, multi-purpose hall and an artists center, while Cluster 4 or arts “living rooms” will contain open space venues, residential-commercial blocks for commercial and business use, a transport terminal as well as artists’ multi-purpose spaces.

The CCP Complex Development Plan is now open for interested business partners and investors.