GSIS selling P20-b Port Area property
State pension fund Government Service Insurance System said Monday it will auction off its Port Area property, the biggest of its assets, for a minimum cash price offer of P20 billion.
The property, which consists of two lots with land areas of 672,645 square meters and 109,212 sqm, is near Pier 2 Manila North Harbor and Negros Navigation Ferry Terminal in Tondo, Manila, respectively.
“Although it tops our big-ticket assets, we are selling the Port Area property as it does not contribute to our operations except for valuation gains,” GSIS president and general manager Jesus Clint Aranas said in a statement.
“We expect to fetch a good price as it is situated in the Manila Bay area where properties have enjoyed a 10 to 15 percent appraisal gains over the last five years. The Port of Manila Bay serves as the largest and the premier international shipping gateway to the country which spells economic growth,” Aranas said.
He said the sale of big-ticket assets in the past few years also yielded considerable gain for the pension fund. GSIS’s total assets reached P1.09 trillion as of November 2016.
“We find it timely to liquidate the Port Area property and take advantage of the attractive real estate market values in the Manila Bay area. In fact, we are eyeing a considerable gain on the sale of this asset. This will go to the pool of assets that can be invested,” Aranas said