Sunvar Realty: Lease payment more than fair

MANILA, Philippines - The realty firm that President Duterte accused of forging sweetheart deals with previous administrations has responded to his threat to eject it from a 2.9-hectare property in Makati. 

Sunvar Realty Development Corp., owned by the Prietos and Rufinos, the families that also control the Philippine Daily Inquirer, said it had paid a “more-than-fair” price for the lease of the property located between Dela Rosa and Arnaiz streets. 

Duterte has accused the Inquirer of being biased against him and called its owners “oligarchs.” He recently promised to build low-cost housing units from the proceeds of the sale of the Makati property called Mile Long.   

In a statement sent to The STAR, Sunvar said the National Power Corp. (Napocor) and the government leased 125,607 square meters of its undeveloped property, located in Bangkal-Dasmariñas Village in Makati City, to the Technology Resource Center Foundation Inc. (TRCFI) in 1977. 

“Sunvar was interested in subleasing only 3,000 sq. m. of the TRCFI-leased property to serve as parking and access for its Makati Square shoppers and moviegoers. TRCFI, however, insisted on having the entire 22,924-sq. m. property rented by Sunvar,” the company said.  

“This expanded hectarage would not boost Sunvar’s needed access as this property’s only entrance is a narrow opening facing Arnaiz street, with the front blocked by Amorsolo creek, and part of the area across Makati Medical Center occupied by informal settlers,” it added.

“But needing the Amorsolo access, Sunvar agreed in August 1980 to the all-or-nothing long-term sublease agreement with TRCFI – leasing a strip that had no road, clean water, drainage, electricity or communication.”

Sunvar said it paid TRCFI the full advance of P16.8 million to cover the entire lease period; initially for almost 25 years, renewable for another 25 years at the realty firm’s exclusive option.