Monday, February 1, 2010

Tax incentives for high-rise buildings extended

Is Mayor Samuel Co trying to transform Pagadian City into a new Makati of the south?

High rise buildings, the ones referred to by the mayor in his extension of tax incentive for four-storey or more edifices are classified as buildings between 23 to 150 meters in height.

In Manila, massive flooding gave way to the so-called “high-rise living,” property industry officials said, as rich people, along with their businesses, are moving to higher ground to avoid a repeat of the devastation from recent storms and floods.

With tropical storm “Ondoy” dumping heavy rains in Manila in September, last year, more than 80 percent of Manila was flooded and people started migrating to areas which are of higher elevation.

Here in Pagadian, it’s another thing. Co wants to have more high-rise buildings constructed around the busy urban districts of the city. A come-on for this is the extension of the Council Resolution No. 2009-1131, which extended the implementation of the Investment Incentive Package (IIP) until Dec. 31, this year.

The IIP is for those who will construct commercial building or structures and cause to facelift or improve their edifices.

This incentive will come in the form of full exemption from payment of building permit fee including the electrical, mechanical, plumbing, occupancy and locational zonal fees.

Also the building’s real property taxes will be re-assessed only after three years of construction of renovation.

The mayor said the extension was upon the recommendation of the Pagadian City Investment Incentive Board (PCIB) to persuade investors to erect condominiums, regencies, tower malls, townhouses, even skyscrapers and apartments, which will spruce up the City Government’s thrust to modernize the physical appearance of the regional center.

Actually, the city council, during its regular session held last April 21, 2009, first approved and adopted the implementation of the IIP exclusively within calendar year 2009.

“There is a felt need for the IIP to be extended for another year to provide and lure other investors to avail of the program, which I firmly believe, will best rebound to the economic condition of the city in the very near future,” Co told this paper.