BAGUIO CITY, Philippines – More than 60 private unit owners of The Forest Lodge, The Manor, Forest Estates, Country Homes, Golf Estates, and Forest Cabins in Camp John Hay are seeking the intervention of President Ferdinand Marcos Jr. as they face eviction orders following a decades-long dispute over the former American military rest and recreation facility.
Their January 27 letter to the President highlights their urgent plea for assistance, citing their imminent displacement due to the enforcement of a writ of execution issued by the Baguio City Regional Trial Court, Branch 6, on January 7, 2025. Notices to vacate have already been posted on their doors, and some unit owners claim they have been locked out of their properties.
Decades-long land dispute
The conflict stems from a 1996 lease agreement between the Bases Conversion and Development Authority (BCDA) and Camp John Hay Development Corporation (CJHDevCo), a private developer led by businessman Robert John Sobrepeña. CJHDevCo was awarded a 25-year lease to transform Camp John Hay into an eco-tourism and investment hub, with obligations to develop hotels, a golf course, commercial spaces, and residential units while paying lease rentals to BCDA.
However, in the early 2000s, CJHDevCo ceased rental payments, arguing that BCDA failed to deliver promised tax incentives. The unpaid rent eventually ballooned to billions of pesos, triggering a lengthy legal battle.
By 2012, BCDA terminated CJHDevCo’s lease due to non-payment, while CJHDevCo countered with lawsuits, leading to arbitration. In 2015, an arbitral tribunal ruled that both parties had breached their contract and issued the following directives:
- CJHDevCo must vacate the property and return it to BCDA
- BCDA must refund CJHDevCo PHP 1.42 billion in rental payments.
However, CJHDevCo refused to vacate and continued its operations within Camp John Hay, including its hotels, residential units, and golf course. The legal standoff persisted for nine more years as CJHDevCo fought eviction orders.
In October 2024, the Supreme Court upheld the arbitral ruling, making it final and executory. By January 6, 2025, the Baguio sheriff enforced the order, issuing notices to vacate to CJHDevCo, its sub-lessees, and tenants.
Unit owners’ plea: Innocent buyers now facing eviction
Unit owners insist that they purchased their properties in good faith, believing they had the legal right to occupy their homes until 2046. Many had invested their life savings into their properties, viewing them as retirement homes or income-generating rentals.
“We acquired our units based on the understanding, with proper documentation, that we have rights to our properties until 2046,” the Camp John Hay Private Owners for Justice wrote in their letter to the President. “However, with the Supreme Court judgment now final and executory, we are being forced to vacate properties we purchased with our hard-earned money, leaving us feeling betrayed and helpless.”
The unit owners also claim that they were never part of the legal battle between BCDA and CJHDevCo. “While the SC decision resolves the contractual disputes between these two entities, we, as third-party buyers, are unjustly caught in the crossfire,” they said.
Unit owners’ requests
In their letter, the unit owners respectfully requested that:
1. They be allowed to remain in their units while they legally defend their rights as innocent purchasers who were not part of the BCDA-CJHDevCo arbitration.
2. BCDA engage in dialogue to find a resolution that recognizes their property investments while aligning with the government’s plans for Camp John Hay.
While acknowledging BCDA’s plan to convert The Forest Lodge and The Manor into fully operational hotels, they argued that this can be done without disregarding their rights as homeowners.
CJHDevCo’s stand: BCDA must honor private ownership
In a statement on Thursday, February 6, CJHDevCo asserted that unit owners are not merely sub-lessees but legitimate property owners who built their homes in good faith during the period when BCDA was actively promoting public-private partnerships for Camp John Hay’s development.
CJHDevCo maintains that BCDA cannot simply confiscate their properties based on the Supreme Court ruling, stating, “CJHDevCo was not directed by the Supreme Court to return Camp John Hay to BCDA free of its lawful occupants.”
The statement also emphasized that the Supreme Court ruling did not mandate the turnover of privately owned improvements such as houses and condotel units. “CJHDevCo can only turn over improvements it still owns; not improvements now owned by its investors,” the company said.
BCDA’s position: Offering fresh leases, but no automatic recognition of old contracts
In response, BCDA stated on February 5 that it has been working with sub-lessees to issue fresh residential lease agreements. According to BCDA President and CEO Joshua Bingcang, the agency has already signed over 40 new residential lease contracts and is preparing additional agreements.
“We want to assure all stakeholders that BCDA is here to help facilitate this transition of management in Camp John Hay,” Bingcang said. “As we move forward, our focus now for Camp John Hay is to create a future that benefits everyone.”
BCDA added that it is reviewing Camp John Hay’s 25-year master plan to align it with the United Nations’ Sustainable Development Goals (SDGs). The agency aims to replicate the success of Bonifacio Global City in Taguig and New Clark City in Tarlac by modernizing infrastructure and attracting high-impact investments.
Despite BCDA’s assurance of new lease agreements, CJHDevCo and the unit owners continue to demand recognition of their original contracts. CJHDevCo claims that unit owners effectively paid for part of BCDA’s rental obligations, and thus, BCDA must compensate them should the government insist on reclaiming their units.
“The only thing BCDA has to do to head off such consequence is to respect all third-party investors and property owners,” CJHDevCo stated.
As of writing, there has been no response from the Office of the President regarding the unit owners’ appeal. – Rappler.com