BCDA looking to raise P48B from disposition of NAIA Terminal 3

The Bases Conversion and Development Authority has inked a memorandum of agreement with the Manila International Airport Authority to increase the annual lease payment for the Terminal 3 Ninoy Aquino International Airport, along with an option to continue leasing or to purchase the 61-hectare property.

Under the MOA, MIAA will have to pay P489 million for the annual lease of the Terminal 3 property, up from the P180 million previously. It will also be given a three-year option period to decide whether to purchase the property for P48.89 billion, or to continue leasing it from BCDA.

“This agreement is a win-win for the government, as it enables BCDA to contribute more to the state coffers, while helping MIAA ensure uninterrupted air traffic flow through this critical gateway,” BCDA president and chief executive officer Joshua Bingcang said in an emailed statement.

“This serves as a vital public service contribution that will ultimately lead to the development of NAIA,” he added.

Should MIAA choose to purchase the property, it will be required to make a downpayment of P10 billion, less the total cumulative annual payments already remitted. The outstanding balance will have an annual interest rate of 5%.

“Through this lease-to-own agreement between the MIAA and the BCDA, we are taking a crucial step towards securing a long-term development of NAIA Terminal 3,” MIAA general manager Eric Jose Jose Castro Ines said.

“By transitioning from a leaseholder to a rightful owner, MIAA gains full control of the land, allowing us to plan, expand, and modernize the terminal without external limitations,” he added.

Under its mandate, the MIAA is tasked to formulate and adopt internationally acceptable standards of airport accommodation services, upgrade and provide safe and efficient airport facilities, and help encourage and promote international and domestic air traffic in the country.

Meanwhile, the BCDA is mandated to help strengthen the Armed Forces of the Philippines (AFP) while building cities. It also engaged in public-private partnerships to boost public infrastructure such as tollways, airports, seaports, and major real estate developments.

It ended 2024 with P11.3 billion in revenues, up 3% from the previous year, mainly driven by the joint venture deal for a 6.1-hectare mixed-use development in Taguig City.—AOL, GMA Integrated News