ILOILO City – The city government seeks to transform the Iloilo Central Market and Iloilo Terminal Market into multi-use complexes to boost business activities as well as preserve the economic value of the city’s Old Central Business District.
It wants to carry out this redevelopment via the Public-Private Partnership (PPP) scheme.
According to Mayor Jerry Treñas, who consulted the PPP Center of the Philippines, the city government is currently doing a “market sounding” – soliciting insights and feedback on the project terms from interested private sector investors.
The indicative investment cost ranges from P2.9 billion to P3.6 billion.
The project involves design, finance and construction of mixed-use buildings, operation and maintenance of commercial spaces, and maintenance for a period of 30 years.
Potential revenue sources for the private sector proponent may include rental fees from the public market and commercial spaces, cargo-handling charges, vehicular docking charges, warehousing/cold storage rental charges, bulk hauling and terminal fees, and parking fees.
The “market sounding” aims to achieve the following:
* provide a brief background and envisioned scope of the project to potential private sector participants
* gauge the interest of the private sector to partner with city for undertaking the project as a PPP
* determine the level of interest, capability, and experience of the private sector, including lenders, to undertake the project
* identify potential issues or problems that may affect the project, particularly its viability
* obtain insights from the private sector, including lenders, on how to make the project more attractive and bankable; and
* understand key considerations of private sector regarding their potential involvement in the project in partnership with city
So far, two investors have expressed interest to undertake the project.
Treñas assured market vendors they won’t be displaced.
There are 1,089 bona fide and transient market vendors at the terminal market and 1,100 at the central market, data from the city’s Local Economic Enterprise Office (LEEO) showed.
But while the project is yet to materialize, the city government is doing some repairs. The City Engineer’s Office has started modifying the markets’ leaking roofs.
Their drainage systems are also being de-clogged./PN
