Landing International Development Ltd has reportedly begun construction work on its proposed US$1.5 billion integrated resort in Manila, defying President Rodrigo Duterte’s claim that no new Philippines casinos would be allowed under his watch.
According to the Philippine Star, earthmoving on the controversial 9.6 hectare parcel of land upon which the IR, NayonLanding, is to be built continued at full speed last week with “bulldozers, backhoes, graders, cement mixers and dump trucks” in use.
“About 50 workmen, some uniformed, were busy with tools,” the report stated, while “a concrete batching plant ran full-blast onsite.”
The land parcel is located in Manila’s Entertainment City precinct between Solaire Resort & Casino and Okada Manila.
News of ongoing construction comes less than two weeks after the entire board of Landing’s Philippines partner, Nayon Pilipino Foundation, was fired by Duterte over what he described as a “grossly disadvantageous” land lease deal said to be costing the government around Php517 million per year over 50 years.
Duterte has subsequently ordered the Department of Justice to review the deal and stated last week he would not allow any new casinos to be built in the Philippines.
Landing, which broke ground on NayonLanding on the same day that the Nayon Pilipino board was fired, released a statement later that day in which it insisted it was “still pushing through and its lease contract with NPF is still valid and effective.”
“From the group’s view point, the recent decision of the Philippine Government to replace members of the NPF board of trustees did not affect the validity of the subject contract of lease,” Landing said.
“Landing International clarifies that the term of lease executed between NPF and Landing Resorts Philippines Development Corporation provided for in its executed contract of lease with NPF is for a period of 25 years only commencing from the date of execution of the contract of lease. Subject to and upon approval of Landing Philippines’ application with the Tourism Infrastructure and Enterprise Zone Authority, the term of the lease shall be for a period of 50 years as provided for and specifically allowed by the Tourism Act of 2009 as an incentive to encourage foreign investments in the Philippines.
“Unless the lease contract is cancelled or nullified on solid legal grounds by the courts, Landing has reason to believe that it is a valid leaseholder and can legally proceed with its project.”
