Ayala warned vs property lease

BACOLOD CITY, Philippines — Ayala Land is being warned by heirs of a family property owner that a portion of the 7.7-hectare property it is set to lease from the Negros Occidental provincial government is the subject of a case now pending in court.

The heirs of the late Aurelia Gonzaga-Villadelgado said they are claiming 6,900 square meters of the 7.7-hectare property in its petition before the Bacolod City Regional Trial Court.

Urs Schlosser, a Swiss national and designated spokesman of the heirs, said at a press conference Thursday, that the property-designated as Lot 403-A-1 and covered by original certificate title 2424 that is up for lease for Ayala Land-belongs to the descendants of Aurelia Gonzaga-Villadelgado, of which his wife, Riza Lambatin, is a member. 

The property in question is along the North Capitol Road, facing the Pala-Pala Food Terminal. Schlosser said they are pursuing a case to annul the title of the property to the provincial government.

Schlosser said the statement of Governor Alfredo Marañon Jr. that the sale and lease of the property no longer have a legal impediment and that he expects the Commission on Audit to approve the transaction soon is "just like brushing aside the pendency of the case."

Their lawyer Joel Cabalatungan told The FREEMAN that they filed the case last February and it is now under trial before RTC-branch 44.

A hearing has been set on October 7, he said. "If the transaction proceeds without the resolution of this case, I think it would be wise for Ayala to deposit the money pertaining to the 6,900 (square meters) portion in court," the lawyer said.

Cabalatungan said "whoever wins the case will get the money." His clients, however, clarified they are not against the transaction between the provincial government and Ayala Land. They just want recognition that such portion of the property belongs to them, he said.

Provincial Legal Officer Jose Ma. Valencia, for his part, brushed aside the claims case of the supposed Gonzaga heirs, saying the case is already dead as it has been dismissed by the Supreme Court before. The claimants merely re-filed the case at the RTC, he said.

Valencia said, "We even possess a certificate of finality, and that the move of the Gonzaga heirs might prompt the provincial government to file counter charges for damages. He said they filed a motion to dismiss on the ground of res judicata (a matter already judged) because the case was already resolved.

Marañon said there is "nothing to worry about" as the case filed in court is the same case filed by the Gonzaga heirs that was previously dismissed by the High Court.

Meanwhile, the Deed of Conditional Sale approved by the Provincial Board involves 36,587 square meters of Capitol lots worth P750.033 million. The Contract of Lease is for the 40,481-square meter lot at P73 per square monthly, amounting to almost P2.755 billion. The total monthly lease amount is P2.914 million monthly, increasing by 10 percent every five years over a 50-year period.

The sale and lease transaction amount to almost P3.505 billion. Ayala Land has proposed to develop the 7.7-hectare property into a Capitol Civic Center with about P6 billion in investments. This is however being contested in court by the SM Prime Holdings, the other bidder for the property, which had secured a 60-day temporary restraining order from the Court of Appeals in Cebu City to stop the consummation of the contract. - THE FREEMAN