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Manny Pangilinan eyes pouring investments in Camp John Hay

BAGUIO CITY, Philippines – Tycoon Manuel V. Pangilinan is looking to invest in the summer capital of the Philippines’ tourism sector.

On Thursday, December 19, the MVP Group made official its intention to pour investments into Camp John Hay. This development comes weeks after the Bases Conversion and Development Authority (BCDA) regained control of the former American rest-and-recreation center in Baguio City.

“Camp John Hay embodies the unique charm and character of Baguio. I have very fond memories here,” Pangilinan, chief of Metro Pacific Investments Corporation, said in a statement.

“In helping BCDA, we commit to the preservation and enhancement of Camp John Hay’s legacy properties, and the care of their dedicated workforce. You are in good hands,” he added.

MVP. Manuel V. Pangilinan (center) with BCDA Chairman Larry Paredes (2nd from right), BCDA CEO Jake Bingcang (2nd from right), BCDA VP Mark Torres, and CJD CEO Marlo Quadra in Camp John Hay, Baguio City, on December 19, 2024.

“This potential partnership signifies Camp John Hay’s readiness to accept investments that will further drive economic growth in the region,” said the BCDA on Thursday.

After an 11-year battle, the Supreme Court has ordered the CJH Development Corporation (CJH DevCo) to vacate the 247-hectare portion of Camp John Hay it leased from the BCDA. Meanwhile, the BCDA is tasked to refund CJH DevCo P1.4-billion worth of rent the company had already paid.

CJH DevCo must turn over leased property and any renovations it undertook back to the government.

BCDA’s transition plan

BCDA President and Chief Executive Officer Joshua Bingcang on Tuesday confirmed that the takeover has commenced, with Le Monet Hotel becoming the first locator to sign a new 25-year lease agreement.

BCDA President and CEO Joshua Bingcang discusses the government’s plans for Camp John Hay, emphasizing collaboration and a smooth transition, during a press briefing on December 17, 2024. Mia Magdalena Fokno/Rappler

“This demonstrates that the government can work collaboratively with locators. We invite all stakeholders to come forward and forge new partnerships with BCDA,” Bingcang said.

The government plans to offer new 25-year leases or longer, depending on the locator’s contributions to Camp John Hay’s development.

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Concerns from locators and stakeholders

Camp John Hay Leisure Incorporated — the company behind The Manor, The Forest Lodge, and CAP-John Hay Trade and Cultural Center — said that for them, the priority is protecting their employees and maintaining operations.

General Manager Ramon Cabrera emphasized ensuring job security for the 487 workers employed by their hotels.

“Our accommodations are 96% booked for the holiday season and early 2025. We hope the transition does not disrupt our operations or the livelihoods of our employees,” he said.

FAIR. Ramon Cabrera, general manager of The Manor and The Forest Lodge, and Federico Mandapat Jr., legal counsel, discuss the ongoing Camp John Hay transition, emphasizing employee protection and the need for fair negotiations with BCDA, in a press conference on December 18, 2024. Mia Magdalena Fokno/Rappler

There were also concerns about the rights of the 397 individual unit owners at The Manor and The Forest Lodge, whose time-share agreements are valid until 2047.

“These owners have contracts that must be respected, and we are hopeful that their rights will not be disturbed,” Cabrera said.

Federico Mandapat Jr., legal counsel for Camp John Hay Leisure Incorporated, noted that while the developer is prepared to vacate properties like Scout Hill and the fire station, many facilities are managed by independent entities.

“BCDA must deal with these entities individually, as they have separate agreements and obligations,” Mandapat said. He estimated that over 1,000 workers could be affected by the transition, and cautioned that evictions could disrupt operations within the estate.

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Camp John Hay Golf Club, meanwhile, assured members that operations remain unaffected and employees continue to work as usual. The golf club has 2,500 authorized shares — comprising 10 founders’ shares and 2,490 regular shares.

“Tee times are fully booked, and our staff is committed to providing excellent service,” the club’s general manager Judson Eustaquio said.

They also emphasized that the arbitration proceedings are between CJH DevCo and the BCDA, and therefore are not binding to the club and that they cannot be compelled to vacate the property.

NO DISRUPTION. Judson D. Eustaquio (2nd from left), General Manager of Camp John Hay Golf Club, with legal counsels Atty. Carlos Viktor Poblador, Atty. James Gerard M. Baello, and Membership Committee Chairman Atty. Federico Mandapat, address the Golf Club’s stance on the ongoing transition during a press conference on December 18, 2024. Mia Magdalena Fokno/Rappler

The club’s legal counsel, Carlos Poblador, also assured that club memberships will remain untouched until 2047 unless the Securities and Exchange Commission (SEC) greenlights any changes.

“The golf club memberships are registered with the SEC, and any changes to these terms would require SEC approval. The Golf Club is ready to assert its rights and protect its securities if further developments arise from the arbitration implementation,” Poblador said.

However, the golf club said it is open to negotiate with the BCDA while reaffirming its commitment to protecting the rights of its members and maintaining its operations as a premier golfing destination.

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Stakeholders seek resolution

Mandapat acknowledged that discussions between BCDA and CJH DevCo have focused on ensuring a “smooth transition process” addressing the concerns of all stakeholders, including employees, unit owners, and third-party contractors.

Meanwhile, Cabrera expressed optimism, citing Le Monet Hotel’s agreement as a potential model for resolving disputes.

“We hope to follow Le Monet’s lead and secure new agreements that protect our interests and those of our employees,” Cabrera said.

With about 3,000 workers employed across all Camp John Hay’s businesses, stakeholders recognized the importance of a collaborative approach to the transition.

BCDA chief Bingcang assured the public that the government is committed to respecting due process and fostering partnerships that benefit both the government and private sector. – Rappler.com

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