BAGUIO CITY — The city government of Baguio City has signed a contract of lease with Megawide Construction Corporation for the Baguio City Integrated Terminal Project (BCIT).

The contract was signed on 21 January 2026 at the City Hall multipurpose hall. The BCIT is the first project to be implemented under the public-private partnership (PPP) scheme aimed at developing and improving public infrastructure in the city.

The city government was represented by Mayor Benjamin Magalong, while Megawide was represented by Chief Business Development Officer Jaime Raphael Feliciano.

Feliciano said both parties arrived at what he described as a “very fair contract” following what he called a rigorous and transparent process involving both the executive and legislative branches of the city government.

"Para kaming dumaan sa butas ng karayom. But because of that, we came up with a contract that is very fair," he said.

He added that Megawide is committed to complying with all its obligations and delivering a “world class intermodal terminal,” citing the company’s previous PPP projects such as the Parañaque Integrated Terminal Exchange and the Clark International Airport.

"As Baguio is special to us and to most Filipinos, we commit to deliver all obligations and beyond, moving forward," Feliciano said.

Vice Mayor Faustino Olowan acknowledged that the process was lengthy and demanding but said it resulted in a fair agreement.

He said it will be a challenge for all stakeholders to ensure the project’s success. "We have complied with all requirements but there more things to do," he said.

The BCIT will be located in Barangay Dontogan along Marcos Highway and will serve as a passenger transfer terminal for provincial buses entering the city. The facility is intended to decongest traffic in Baguio’s central business district by shifting bus operations to the city’s outskirts.

Under the agreement, the contract will run for 40 years, after which the terminal’s operations and assets will be turned over to the city government. The project has an estimated cost of P1.186 billion.

City officials said the project is expected to generate increased income for the local government through lease payments, revenue sharing, and additional business permits and taxes.