BAGUIO CITY – The State-owned Bases Conversion and Development Authority (BCDA), today, gained control of the 247-Hectare John Hay Special Economic Zone (JHSEZ) following a peaceful enforcement by the sheriffs of the city’s Regional Trial Court (RTC) of a 2015 notice to vacate and writ of execution.
The enforcement of the court order was an offshoot of a groundbreaking Supreme Court (SC) decision that reinstated the said court order allowing BCDA to recover the government property from the Camp John Hay Development Corporation (CJH DevCo) after a long standing court battle over the past nine years.
For a few hours, gates leading to the former American rest and recreation center in the city were padlocked with the assistance of law enforcers that paved the way for the court sheriffs to peacefully implement the notice to vacate.
“This victory is a win for the Filipino people as it paves the path for exciting investments and projects that will drive socioeconomic opportunities and protects the interests of all,” said BCDA President and Chief Executive Officer Joshua M. Bingcang. “As we open new doors of opportunity, more businesses may reinvest their capital in Camp John Hay and build upon the workforce; all while ensuring that the environmental and cultural integrity of the area are preserved and protected.”
The BCDA took over The Manor, the Forest Lodge, Camp John Hay Golf Club, CAP Convention Center, Commander’s cottage, open spaces and other areas.
The court also booted out Judeson Estaquio, general manager of the Camp John Hay Golf Club, Inc. and Ramon Cabrera, general manager of The Manor and the Forest Lodge and padlocked their respective offices aside from shutting down the CJH DevCo offices in the area.
CJH DevCo employees were given until tomorrow, January 7, 2025, to clear the offices of their personal belongings pursuant to the issued notice to vacate.
In an order dated 03 January 2025, Branch 6 of the Baguio Regional Trial Court upheld the Supreme Court ruling and junked CJH DevCo’s fresh attempt to prevent the full return of the Camp John Hay property. This court order means all land and improvements in the property, whether directly held by CJH DevCo, its subsidiaries and/or affiliates or occupied/held by other individuals or parties claiming rights under them, must be turned over to the BCDA immediately.
Last year, the SC ordered the reinstatement of the 2015 2015 decision of the RTC Branch 6 upholding the arbitral ruling of the Makati-based Philippine Dispute resolution Center, Inc. (PDRCI) that ordered CJH DevCo to turnover to BCDA the leased premises free from lessees whenever practicable and for the State corporation to reimburse to the developer more than P1.4 billion in paid lease rentals to the government.
In 1997 the BCDA leased out the property to Fil-Estate Penta Capital consortium for its supposed conversion into a world class multi use tourism center and investment area.
However, CJH DevCo lawyers and legal counsels of both the Golf Club and The Manor and Forest Lodge are now studying the appropriate legal remedies that could be vailed to assert the rights of third parties considering the existence of owners of hotel rooms and golf shares within the said establishments.
Lawyer Federico Mandapat,Jr., legal counsel of The Manor and the Forest Lodge and chairperson of the Golf Club’s membership committee, claimed that all available legal remedies would be availed of by the third parties to protect their rights and interests over their established rights over some of the facilities in the economic zone.
Earlier, the Golf Club asserted that it should not be part of the property affected by the notice to vacate because it has a separate and distinct agreement directly with BCDA while The Manor and Forest Lodge management said that there are ongoing negotiations with BCDA over the matter which would likely gain positive results in the future.
The Manor has around 208 rooms and the Forest Lodge has 189 rooms owned by separate individuals whose rights need to be protected.
Information was not readily available whether or not BCDA already paid to the developer the P1.4 billion reimbursement to warrant the eventual takeover by the government of the declared special economic zone. By Dexter A. See