DOTr secures Villar Group's land donation for LRT-1 Cavite extension

The Department of Transportation (DOTr) on Friday announced it has secured an agreement with the Villar Group of Companies for the latter's donation of properties to resolve the the right-of-way (ROW) issues hounding the Las Piñas alignment of the Light Rail Transit Line 1 (LRT-1) Cavite Extension.

In a news release, the Transportation Department said both parties—the DOTr and Villar Group—agreed on "three non-negotiable terms" for the donation of the land, namely "the granting of an unconditional permit to enter, the waiver of subrogation against the government, and the cancellation of the mortgage on the property to be donated."

The agreement was forged during a meeting between Transportation Secretary Banoy Lopez and representatives of Villar Group on August 7, 2026.

The DOTr said six parcels of land are to be donated by the Villar Group, two of which are mortgaged.

"This development is good for DOTr, LRMC (Light Rail Manila Corporation, LRTA (Light Rail Transit Authority) and the Villar Group, but best for the commuting public," Lopez said.

He added, "Itong pagkakasundo natin, talagang commuters ang pangunahing makikinabang, at 'yun naman talaga dapat ang priority natin."

(Commuters will be the primary beneficiaries of this agreement, and this is really our priority.)

Last month, President Ferdinand "Bongbong" Marcos Jr. directed Lopez to immediately resolve the ROW hurdles of the LRT-1 extension all the way to Cavite.

The Light Rail Transit Authority (LRTA) had committed that the entire stretch of the LRT-1 Cavite Extension project will be finished before the Marcos administration ends its term in 2028.

The Phase 1 of the extension project, which is already commercially operational, connects Baclaran Station in Pasay City to Dr. Santos Station in Parañaque City through five stations, namely Redemptorist-ASEANA Station, MIA Road Station, PITX Station, Ninoy Aquino Avenue Station, and Dr. Santos Station.

The Cavite leg or Phase 2 and 3 of the railway project, meanwhile, includes the three pending stations that have yet to be constructed—Las Piñas, Zapote, and Niog.

For its part, the Villar Group said the cancellation of the mortgaged properties will be processed within the next six months.

The company added that the replacement of properties for the two mortgaged parcels of land has already been identified to facilitate the release of the land to be donated.

It also expressed confidence that the necessary agreements for the land donation, including the Memorandum of Agreement, Right-of-Way Acquisition Agreement, and Deed of Donation, will be signed within the month, paving the way for construction works to commence as early as next year.

The DOTr said LRMC president and CEO Enrico Benipayo was also present at the meeting.

"I see that there's this urgency from the government to provide relief for passengers. And on the part of the Villars (Group of Companies) there's a good sign that they're talking to the grantors in good faith. With this milestone, I think a major hurdle has been finished," said Benipayo.

The LRT-1 Cavite Extension project is being financed through a hybrid scheme of the national government, official development assistance from Japan, the Japan International Cooperation Agency (JICA), and the private operator of the Light Rail Manila Corporation.

The P64.9-billion project was awarded to LRMC in September 2014, but was only taken over by the private partner in September 2015.

Under the agreement, the LRMC will manage the LRT-1 for 32 years, during which it will also extend the line by 11.7 kilometers to 32.4 km from the current 20.7 km. — VDV, GMA News