Philippine President Orders Immediate Disposal of Mile Long Property in Makati
Key Takeaways
- •Administrative Order No. 50, signed on Sept. 30, transfers control of the Mile Long property in Makati City back to the Privatization and Management Office and directs the agency to begin its immediate disposal.
- •The order repeals a 2020 directive, AO No. 21, that had assigned management and redevelopment of the 22,924-square-meter lot to the Bases Conversion and Development Authority.
- •Acting on a Department of Finance recommendation, the PMO must draw up a privatization plan aimed at maximizing government value and secure approval from the Privatization Council.
- •The Department of Budget and Management has been directed to examine how disposal proceeds can be routed to the government's priority programs under applicable budget rules and laws.
- •AO No. 50 became effective immediately upon its posting in the Official Gazette or publication in a newspaper of general circulation.
President Ferdinand R. Marcos, Jr. has returned control of the Mile Long property in Makati City to the Privatization and Management Office (PMO), ordering the agency to proceed with the immediate disposal of the state-owned site.
Under Administrative Order (AO) No. 50, signed on Sept. 30 and posted on the Official Gazette on Thursday, administration and management of the 22,924-square-meter lot in the Makati central business district revert to the PMO. The National Government holds title to the property.
The order repeals AO No. 21, issued in 2020, which had tasked the Bases Conversion and Development Authority (BCDA) with managing and redeveloping the property through an agreement with the PMO. The repeal marks a change in direction for the site: where the 2020 order centered on redevelopment under the BCDA, the new mandate puts disposal through the PMO at the forefront.
Citing a recommendation from the Department of Finance, the directive places the property up for disposal and shifts it back to the PMO for that purpose.
With control restored, the PMO was instructed to move immediately on the disposal, including preparing and carrying out a privatization plan designed to extract the best possible value for the government. The agency must also secure the approval of the Privatization Council.
The Department of Budget and Management (DBM) was separately directed to study how the proceeds would be channeled to the government's priority programs, in line with budget rules and existing laws.
In July, the PMO said the Mile Long property was among major state assets being prepared for disposition. The new order turns those preparations into a formal directive for immediate disposal.
AO No. 50 takes effect immediately upon publication in the Official Gazette or in a newspaper of general circulation. With the order in force, the milestones to watch are the PMO's privatization plan, the Privatization Council's approval, and the DBM's study on channeling proceeds — the steps that will shape how the government extracts value from a titled state asset in the Makati central business district and routes it to priority programs.
— Erika Mae P. Sinaking, BusinessWorld
