The Philippine Amusement and Gaming Corp, the country’s gaming regulator, says it has signed a contract with San Miguel Corp (SMC) Infrastructure for a 25-year lease for the use of Pagcor’s 15-hectare (37.1-acre) Nayong Pilipino property, in Pasay City, Metro Manila.
As part of the deal, SMC Infrastructure is to build Pagcor’s new corporate office building in a 2-hectare portion of the land plot. Construction is budgeted at PHP2.45 billion (US$41.7 million), according to a Monday press release.
The office building will have a total area of 40,000 square metres (430,556 sq. feet), “with an additional 15,000 square metres for fit-out space,” stated Pagcor.
Construction “will be fully financed and built by SMC at no cost to Pagcor,” said the agency’s chairman and chief executive, Alejandro Tengco (pictured left).
“This project will be more than just a structure,” the Pagcor chief said as cited in the announcement. “It reflects Pagcor’s commitment to creating a world-class work environment for its employees; a reflection of our identity, core values and aspirations.”
Mr Tengco described the deal as a practical solution to the agency’s need for its own office space.
“For many years, Pagcor has operated across various rented locations, with our employees spread out and often working under less-than-ideal conditions,” he said.
The regulator’s chief added: “While we have always managed to deliver on our mandates, we’ve long dreamed of a day when we could bring everyone together under one roof – a place where we could foster a stronger sense of community, collaboration and shared purpose.”
The deal was signed on December 12 by SMC chairman and CEO Ramon Ang (pictured right). Mr Ang assured that construction of the Pagcor building would commence promptly upon the agency’s formal approval of the design.
“Our goal is to maximise the potential of this property for the public’s benefit. The new Pagcor headquarters will be a key part of this plan, providing a modern space to support their crucial role in funding government programmes that uplift the lives of many Filipinos,” the SMC chairman was quoted as saying.
At the ceremony, Mr Ang turned over to Pagcor cheques for nearly PHP100 million, representing advance rentals and security deposits, according to the announcement.
The lease agreement allocates 13 hectares of the plot for SMC’s initiatives, which the statement said it would mostly include infrastructure to complement airport requirements.
“Aside from the rental for the 13-hectare property, Pagcor also expects additional revenues from renting out unused portions of the new corporate office once it is completed,” Mr Tengco stated.
In September, an entity called New NAIA Infrastructure Corp (NNIC), a consortium led by SMC, took over operations at Ninoy Aquino International Airport, the main air hub for the Philippine capital, Manila.
The SMC-led consortium also started working on a PHP170.6-billion revamp of the country’s main gateway for air travellers.
