Philippine real estate developer Century Properties Group Inc. is open to settling a partnership dispute with Universal Entertainment Corp., a company controlled by billionaire Kazuo Okada.
In March, Universal Entertainment Philippines subsidiaries—Eagle I Landholdings Inc., Eagle II Holdco Inc. and Brontia Limited—terminated an agreement over a $2 billion integrated resort and casino project after First Paramount Holdings 888 Inc. withdrew from the negotiations.
The developer responded to the Okada group’s dismissal by taking the issue up to the courts. After months of deliberation, the Makati Regional Trial Court (RTC) Branch 66 ruled in favor of Century Properties, granting its application for a preliminary prohibitory injunction against the Okada group. The order prohibits the Universal Entertainment from terminating its agreement to develop luxury residential and retail properties with the local real estate firm.
The partnership deal between the parties would have given Century Properties and First Paramount Holdings 888 Inc. stakes in Okada’s local unit in addition to a five-hectare luxury residential and commercial project that Century was supposed to develop.
Century is open to resuming negotiations with the Okada group this year, adding that the company is amenable to a partnership based on previously signed terms.
“The plan is for us to discuss among ourselves out of court and take it from there. If it will be the same terms, we are amenable to do that but there is no formal agreement yet,” Kristine Garcia, Century investor relations head, said during CPG’s real bond listing this week.
The Okada group has yet to respond to Century Properties’ latest proposal.
Despite all the legal issues it faces in the Philippines, Okada’s Tiger Resorts Leisure and Entertainment continues to assure everyone that its integrated resort and casino, Manila Bay Resorts, is still on schedule to open by the third quarter of 2015.
