Would the Armed Forces of the Philippines (AFP) consider selling five golf courses situated in prime real estate in Metro Manila to modernize its facilities?
Senate finance chair Franklin Drilon’s quick computations showed the military can raise an estimated P45 billion from the sale of land inside facilities that are being used as golf courses that only earn a pittance in green fees.
These are located inside Camp Aguinaldo and Veterans Memorial Medical Center (VMMC) in Quezon City, Villamor Airbase in Pasay City, the Philippine Navy and Philippine Army properties in Fort Bonifacio.
“Let’s say on the average, each golf course has 30 hectares, multiplied by five, at the rate of P30,000 per square meter would have a value of P45 billion. I don’t think the military needs golf courses, it needs to modernize,” Drilon said in an interview after the finance committee hearing.
The committee learned that VMMC for example, already has an estimated value of P11.5 billion given its proximity to two giant malls in Quezon City.
The AFP has planned to spend P330 billion spread over several years as part of its modernization program. So far, it has only used P33 billion or 10 percent of the total.
Drilon said one reason for the slow process is the AFP’s reliance on the annual budgetary allocations given by Congress.
Funds for the military’s modernization also come from proceeds collected by the Bases Conversion Development Authority and royalties from the Malampaya gas project.
Drilon said even if the military only enters into long-term lease agreements, charging lessees 10 percent of the value of the assets can already collect P4.5 billion a year.
“These are your assets and you know your needs,” the senator told Defense Secretary Voltaire Gazmin and AFP Chief of Staff Eduardo Oban. “I strongly suggest you take a good look at these assets… This is not rocket science.”
Senate President Juan Ponce Enrile noted that Drilon even gave a conservative estimate.
“Villamor alone is already about 52 hectares,” he said.