The National Economic and Development Authority (NEDA) and the Public-Private Partnership (PPP) Center in collaboration with Sycip Gorres Velayo & Co. (SGV) conducted a market sounding webinar to provide a structured dialogue with interested private companies and get their insights on the NEDA sa Makati Property Redevelopment Project. The webinar was held on July 12, 2021 and was streamed live via Facebook. [Watch the entire webinar here.]
The NEDA sa Makati Property Redevelopment Project involves the design, financing, construction, operations and maintenance of a new world-class, green-design and disaster-resilient building for the NEDA property in Makati. It aims to address the space requirements of NEDA’s headquarters in Pasig and serve as venue for efficient delivery of public service.
In his welcome remarks, NEDA Undersecretary for Corporate Affairs Jose Miguel R. De La Rosa spoke of the need to transform the current NEDA sa Makati property into a mixed-use building. He stated that it can be utilized as offices while also allowing some spaces for commercial use to recoup the expenses for its redevelopment and save funds for the government.
“We are convinced that the best financing scheme would be through public-private partnership,” Undersecretary De La Rosa shared. “PPP projects such as the redevelopment of the NEDA sa Makati property will put to good use the government’s assets by optimizing its usage and engaging the private sector to put in a good investment. The NEDA sa Makati redevelopment project can profit from a more competitive environment that will yield for the most qualified bidder and the best offer for that can provide for the services of the construction and management of the property,” he added.
For his part, PPP Center Executive Director Ferdinand A. Pecson enjoined the potential private sector partners to share their insights to help transform the NEDA sa Makati property into a green building through PPP. He emphasized the value of green buildings to preserve natural resources and help improve the quality of life.
PPP Center’s Deputy Executive Director Mia G. Sebastian provided the participants with an overview of the PPP program, including the PPP process.
The market-sounding exercise also featured industry experts to provide the private sector a more informed appreciation of the PPP project.
SGV and Co., the transaction adviser of NEDA, funded under the PPP Center’s Project Development and Monitoring Facility, gave potential investors its initial analysis and findings on the project’s development concept, project structure, and financial investment highlights. During the presentation of the project conceptual design, it was highlighted that the information presented is not intended to be prescriptive or definitive. The potential private sector partners are encouraged to review the project requirements, improve on the design and submit what would be the optimal utilization of the property with a most marketable scheme. Meanwhile, Colliers, a leading property development firm, provided insights into the Metro Manila property situation.
As a best practice of the PPP industry, the market-sounding webinar for the redevelopment of the NEDA sa Makati property is an efficient tool to collect expert opinions on market conditions, technical aspects of the project, and the allocation of risks. The market-sounding activity was staged to identify potential issues that may affect the viability of the project and obtain insights from the private sector on how to make the project more bankable and attractive to potential investors.