The Makati City subway project, the first underground railway project undertaken by a local government unit, is facing another headwind after its alignment was adversely affected by the tug-of-war between the cities of Makati and Taguig over territorial disputes.

In a stock report on Wednesday, private proponent Philippine Infradev Holdings, Inc. disclosed that the project alignment is no longer viable as the depot and a few stations, which were supposed to traverse through Makati City properties, were found to be within the jurisdiction of Taguig City instead as ruled by the Supreme Court or SC.

"Under the Joint Venture Agreement executed between the Makati City Government and the Company, the depot and a few stations of the Makati City subway system will be in the affected areas.

Also, the alignment of the subway will no longer be feasible," the company informed the stock exchange.

Particularly, the SC decision affected the Makati City subway project's depot in Cembo as well as the planned stations in the University of Makati in West Rembo, and Ospital ng Makati in Pembo.

Thus, Infradev said it has reached out to the Makati City government, through an Intent Notice, to discuss the next course of action that they should take following the SC order.

In April 2022, the SC Third Division ruled with finality that the disputed areas, Bonifacio Global City and nearby Enlisted Men's Barrio or EMBO barangays, were under Taguig City's jurisdictions.

However, before Taguig City's courts assume pending litigations over the said areas, which used to be part of Makati, it first needs to secure a writ of execution.

A writ of execution is a legal order issued by a court that qualifies the enforcement of a judgment or court decision.

In 2019, the Makati City Government signed the Joint Venture Agreement with Infradev and its partner after the company hurdled the competitive Swiss Challenge and obtained approval for the construction, operation, and management of the intra-city subway.

Under the joint venture, Makati would only contribute land it currently owns for the project.

The subway aims to connect key points in Makati like the current Central Business District at the corner of Ayala and Sen. Gil Puyat Avenues, Circuit City, Makati City Hall, University of Makati, Ospital ng Makati and other new growth areas within the city.

The subway is planned to have up to 10 air-conditioned, underground island stations whose entrances will be linked to destinations across the city.

The project can accommodate up to six-car trains, with room for over 200 persons per car, with more than 700,000 passengers per day to be accommodated and served by the proposed mass transport system.