October 09, 2013

BGC lot fetches P2.32b in auction

A sole bidder, Clark Quay Holdings, won the 8,300 sqm in Bonifacio Global City lot being auctioned off by the Social Security System for P2.232b. This was slightly higher than the P2b floor price set by the SSS. Of the two remaining qualified parties Clark Quay eventually was the sole bidder as the other deemed the price too high.

Our take: The effective average price of P280,963/sqm for the SSS lot is in the upper end of the P200,850-P292,000/sqm range of prices in BGC as per the 2Q13 market report of Colliers International Philippines. The decision of Ayala Land Inc (a key stakeholder in Fort Bonifacio Development Corp which developed BGC) to stop selling lots in the area may put an upward pressure on lot prices in BGC. - WealthSec