Andrew Tan’s Megaworld Corp. has bagged the development of the 8.38 hectare North Bonifacio for P3.1511 billion besting Robinsons Land Corporation’s offer of P3.1507 billion, the Bases Conversion Development Corp. (BCDA) announced Wednesday.

BCDA vice-president for business development Aileen Zosa said that Megaworld has to put up P1.062 billion upfront cash to BCDA during the contract signing scheduled for October 8 this year.

“This would contribute to our estimated P3 billion revenue generation this year that would bring to P41 billion total BCDA revenue generation so far,” Zosa said.

Since Megaworld has submitted a P700 million security proposal to BCDA, Zosa said that Megaworld has the option to get back the check or add the remaining P632 million to complete the required P1.062 billion upfront cash payment.

BCDA shall also conduct post qualification on September 9 within this week for it to be declared as the winning private sector participant for the joint venture development of North Bonifacio lots.

The post-qualification consists of verification of documents submitted and representations made by the Megaworld for the selection progress pursuant to the terms of Reference for the competitive challenge.

As joint venture partner for the development of North Bonifacio, Megaworld has to pay BCDA P37,603.69 per square meter in the next 12 years.

“The good thing is even if Megaworld has not started selling yet, this is a guaranteed revenue (P306.616 million per year) for the next 12 years which would start upon the signing of the contract,” Zosa said. “We are hopeful that this will signal for the recovery of the real estate sector. Hopefully this will complete the development of Fort Bonifacio,” Zosa said.

The North Bonifacio development is a mix-use of commercial and residential although it would be predominantly residential.

In the competitive challenge, Megaworld offered an annual secured revenues to BCDA of P306.616 million per year for 12 years while RLC proposed annual secured revenues to BCDA of P299.5 million per year for 12 years.