The Department of Public Lands will be making a counter-offer to the Hyatt Regency Saipan—possibly by next week—on the hotel’s proposal on its expiring land lease.
DPL Real Estate Division director Bonnie Royal disclosed in an interview yesterday that they are preparing a letter to Hyatt about the hotel’s overall proposal that they hope to give it next week. Royal said the letter will indicate whether DPL is going to accept or deny the Hyatt proposal, but also make a counter-offer.
“This is where the process of negotiation starts because they have completed [the requirements],” she said.
The director said they have accepted Hyatt’s proposal as complete, which is a requirement in order to start the negotiations.
Royal said they received last Dec. 2 the remaining documents from Hyatt and that they were able to review them. The following day, Dec. 3, they met with Hyatt, in which they discussed the documents that were submitted.
The director said there is still a requirement that they want, but DPL Secretary Marianne Concepcion-Teregeyo accepted the proposal as complete. “So now we are reviewing the proposal and we are getting ready to respond to Hyatt,” Royal said.
Deveney Dela Cruz, special assistant to DPL secretary, earlier stated that DPL received an official proposal packet from Hyatt’s current lessee, Saipan Portopia Hotel Corp., last Oct 20, but the package was incomplete.
Last October, Gov. Ralph DLG Torres said he would like to see Hyatt get the extension.
Hyatt’s 40-year public land lease will expire in December 2021.
The recent enactment of Public Law 20-84 increases the terms of public land leases of up to 40 years, plus an extension of 15 years, for a total of 55 years. It also authorizes certain public land leases to be amended and extend existing lease terms up to 55 years.