State-run Power Sector Assets and Liabilities Management Corporation (PSALM) is soliciting tenders from interested parties for its propounded ‘negotiated deal’ for the divestment of the government-owned Paco-Manila property that is situated in Isla de Provisor in city of Manila.
The minimum offer price set by the company for the negotiated sale is P458.337 million; and PSALM emphasized that the winning bid could be higher or at least equal to the prescribed minimum price.
Due diligence on the property started on November 12; while pre-negotiation conference will be on November 19 and the submission of bids will be on December 2 this year.
For interested parties, PSALM is requiring an ‘offer security’ that shall be in amount “equal to at least 10-percent of the financial offer of the prospective bidder;” and such must be posted in the form of cashier’s or manager’s check; stand-by letter of credit which is issued by any commercial or universal bank operating in the Philippines.
When the negotiated transaction is concluded, PSALM indicated that the terms of payment shall be “within 10 business days from the date of the notice of award.”
The government-run firm added that the property buyer “shall make one-time full payment of the purchase price in accordance with the payment instruction to be issued by PSALM.”
It added that the property’s divestment is on “as is, where is” basis; and that the proposed negotiated sale is “open to individuals/sole proprietorships, corporations, cooperatives or partnerships duly registered and organized under the laws of the Philippines.”
PSALM added that the property taker “shall pay all applicable taxes, licenses, fees and charges due on the sale transaction, and all unpaid taxes, fees and/or expenses.”
Aside from the Paco-Manila property, PSALM is also placing on auction its small value real estate assets so it can fetch additional revenues that it could then utilize for the settlement of outstanding obligations.
These real property assets include those in Bohol, General Santos City in South Cotabato; and Camalaniugan in Cagayan Valley province, as announced by PSALM on Monday (November 16).
The state-run company said the bid submissions and opening date for these assets will also be on December 2 at its Vertis North office in Quezon City.
“The bidding for the said assets are separate and distinct from each other, but interested bidders may participate in one or more, or in all bidding projects,” PSALM has specified.
It emphasized that one of the assets due for sale is the Loboc property in the province of Bohol, and such consists of four (4) lots with a total land area of 13,204 square meters. The minimum tender set for this property had been pegged at P12.139 million.
The property to be divested in General Santos City is proximate to an industrial zone and it has total area of 1,868 square meters. The targeted proceeds from this sale is from a minimum of P10.974 million.
For the Camalaniugan property in Cagayan, this consists of 2,148 square meters and is currently a site of a substation of a distribution utility. The expected revenue from that asset would be P3.222 million.