City Council drafts interim guidelines in Maharlika building operations
By: Rimaliza A. Opiña, photo by Jam Valdez
Pending the crafting of the master development plan for the Maharlika Livelihood Center (MLC), a proposed ordinance has been submitted at the city council as interim guideline for the operation of the building on 7 September 2025, under the administration and management of the city government.
Salient provisions of the interim guidelines are the city government’s recognition of agreements between tenants and the building’s former administrator — the Human Settlements Development Corporation (HSDC), and the requirement for the tenants who wish to renew their tenancy to disclose the identity of their relatives up to the fourth degree of consanguinity and affinity.
The draft interim guidelines adopt a general policy of prohibiting subleasing but reconsiders the previous agreement between the tenants and the HSDC, which permitted subleasing.
Between 21 to 96 establishments are covered by sublease, the draft showed.
Only verified and actual occupants will be permitted to operate. Tenants will be issued three-month lease contracts, which may be renewed pending approval of permanent policies.
The tenants shall pay the same payments paid to HSDC or its recognized sublessors inclusive of value added tax, withholding tax, and maintenance fees.
The draft guidelines have also set a schedule of lease payments. Surcharges and interests will apply if a tenant fails to pay on time.
Tenants are also required to pay an advance payment and security deposit.
The city government will also implement a single stall policy. For those with sublease contracts with the HSDC, tenants advised to agree between the original tenant and sublessor will continue operating.
To prevent monopoly in stall rental, the draft guidelines require the tenants to disclose their relatives up to the fourth civil degree of consanguinity or affinity.
For stalls that will be vacated, priority new applications will be accorded to micro and small enterprises.
New tenants will be chosen based on their socio-economic status as certified by the City Social Welfare and Development Office and submission of income tax return.
As with policies in the main city public market, transfer of tenancy rights will be strictly imposed.
The guidelines also call for the creation of a special fund and opening of a bank account where revenue from the rent, fees, and income accrued from the date of takeover, city government appropriations, grants, donations, financial assistance from the national government, other income-generating activities shall be deposited.
The proposed interim guidelines are on second reading after publication. It will undergo revisions before it becomes an ordinance.
The city government took over the MLC in May this year, following the expiration of the lease contract between the city and the HSDC – an attached agency of the Department of Agriculture.
Apart from improving the building and its tenancy policies, the city government aims to transform the area into a creative hub, where products made by local artisans will be sold and displayed.
Upon the city government’s takeover, Mayor Benjamin Magalong signed two executive orders for the smooth transition of operations and management.
Executive Order 6 series 2025, created the MLC Transition Coordinating Committee.
The committee is also tasked to immediately initiate a five-year feasibility study about transforming the MLC into an economic enterprise, and to draft a five-year business plan.
EO 61 and 61A, on the other hand, created the technical working group to investigate occupancy claims, recommend tenancy or vacancy, and assist in the transition.
Former councilor Art Allad-iw is MLC’s current administrator.
