City wants to purchase GSIS property

BAGUIO CITY – Mayor Mauricio G. Domogan reported the local government would like to purchase the idle property of the State-owned Government Service Insurance System (GSIS) in Marcoville for the city’s parking requirements, among other public needs.

The local chief executive explained he returned to the local legislative body their approved resolution requesting President Rodrigo R. Duterte to assist the city government convince the GSIS management to sell the property instead of just leasing it, as originally stated in the resolution.

The city signified its intention to purchase the GSIS property in Marcoville barangay, including the tree park beside the Baguio Convention Center, for the city’s parking needs while the tree park will remain as a forested area to serve as a buffer for the local government’s environmental preservation and protection programs.

“We want to be given the priority to purchase the GSIS property to maximize its use through the put up of a multi-level parking structure that can accommodate both private and public motor vehicles thus contributing in efforts to decongest the central business district area and provide the public with alternative parking areas,” Domogan stressed.

GSIS replied to this letter of intent stating that the value of the property would be more than P446 million based on prevailing fair market value of the property in the said place and the city it waiting for the response to its counter-offer.

The mayor pointed out the local government will await the action of the GSIS management on its earlier proposal to purchase the property because there was already an initial transaction entered between the city and the state insurance corporation for the purchase of the Baguio Convention Center that was consummated several years ago.

In 2004, the GSIS, local government and the Bases Conversion and Development Authority (BCDA) entered into a tripartite agreement for the city to purchase the premier convention facility from the GSIS using the share of the local government from the lease rentals of the John Hay Special Economic Zone as its down payment.

The local government was able to fully own the Baguio Convention Center after it settled its unpaid obligations, penalties and surcharges sometime in 2012 after the previous administrations failed to abide by the provisions of the 2004 tripartite agreement.

By Dexter A. See

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