Thinking Pinoy Expose How UP Gets Only P22/sqm Monthly from UP-Ayala Technohub

Prominent blogger and veteran Math Major from the University of the Philippines, Thinking Pinoy or RJ Nieto in real life made an astonishing expose regarding the partnership between UP and Ayala Land and questioned the possibility of the low cost in terms of per square meter value of the property.


According to Thinking Pinoy, the UP System's 2018 Commission on Audit Report sstates that UP has two Public-Private Partnership (PPP) Projects with Ayala Land: the UP-Ayala Technohub along Commonwealth and the UP Town Center along Katipunan.



Based upon the documents, Ayala keeps the lion's share of profits with an estimated P22/sqm value of the property being leased to Ayala monthly.

The Commission on Audit's 2018 Annual Audit of the University of the Philippines System shows that UP has collected a total of Php 1.094 billion from the UP Ayala Technohub Project during the 11 years from 2008 to 2018.

TP noted that given that UP leased Ayala 380,630 sqm of prime land, Ayala’s payments to UP amount to a monthly rent of just Php 21.77 per sqm.

The big question is that, would somebody else lease out a prime lot for just that much?



The controversial UP Ayala Technohub partnership basically works like this: UP contributes land, Ayala provides improvements, Ayala leases out property to various tenants, then lease revenues are split between UP and Ayala.

The UP Ayala Technohub according to TP has four components: office space, residential space, hotels, and retail space. Based on the same COA Annual Audit Report, the revenue sharing structure for each of these components, expressed as a ratio of UP’s share to Ayala.

To know more about the expose of Thinking Pinoy, just head on to the official website of Thinking Pinoy.

Source: ThinkingPinoy.net

Thinking Pinoy Expose How UP Gets Only P22/sqm Monthly from UP-Ayala Technohub Thinking Pinoy Expose How UP Gets Only P22/sqm Monthly from UP-Ayala Technohub Reviewed by Phil Newsome on January 19, 2020 Rating: 5
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