THE government raised P1 billion from the sale of a 3,500-square-meter idle floor at the Brutalist-style Atrium of Makati to the building’s master developer to unlock value from dormant state assets.
The Privatization Management Office (PMO), an attached agency of the Department of Finance (DOF), sold the entire fifth floor, covering 24 condominium units, as well as 21 parking lots, to Sanpiro Realty Development Corp. (SRDC).
The sale bodes well for the government as the DOF aims to collect P101 billion in privatization revenues this year, said PMO Chief Privatization Officer and Undersecretary Michael Peter A. Alejandro during the signing of the deed of sale last Thursday.
‘It’s [the target is] quite ambitious. This will go a long way in helping fund other projects, roads, classrooms and other projects all around the country,’ Alejandro said.
The government secured a ‘very competitive’ price for the property, double the initial offer of around P400 million, the official told reporters on the sidelines after the signing.
Sanpiro Realty, currently engaged in leasing real properties, could potentially lease out the newly acquired units, said SRDC President James Roy N. Villareal.
‘This is really a great opportunity for us. Sanpiro, as the master developer, holds several units [at the Atrium of Makati] already and a certain percentage of the building,’ Villareal added.
The company also holds a right of first refusal on unit sales as the master developer of the building.
‘Since the asset is now up for sale by the government, it is an opportunity for us and part of our long-term strategy to consolidate the ownership,’ Villareal said.
The entire fifth floor was previously occupied by staff of Revenue District Offices of the Bureau of Internal Revenue.
However, according to Alejandro, the building has been idle since 2020 and requires retrofitting.
The Atrium of Makati is a nine-story, wedge-shaped building located along Makati Avenue corner Paseo de Roxas, housing offices and various stores.