Baguio takes back control of city’s oldest mall

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After more than half a century and generations of tenants, Baguio’s oldest shopping mall is finally back in the hands of the local government

BAGUIO, Philippines – It was conceived during the first Marcos administration, built atop the ashes of a market that was razed to the ground by fire, and run for decades under a lease that outlasted administrations and public patience.

Now, after more than half a century and generations of tenants, Baguio’s oldest shopping mall is finally back in the hands of the local government.

But for many locals, one question remains: Will the escalators at the Maharlika Livelihood Center finally work?

RELICS. Maharlika’s old escalators stand as relics of a mall left waiting for renewal. Mia Magdalena Fokno/Rappler

The old mall’s escalators, installed in the 1980s, have become a long-running joke in the city.

“The escalators in Maharlika are like the building itself, old and symbolic of how long it’s been neglected,” one vendor quipped in Ilocano during the May 28 ceremonial turnover.

Baguio Mayor Benjamin Magalong, acknowledged the problem. “We’re putting in about P25 million for operations. Isa ‘yun sa mga tinitingnan namin. Pero mahal talaga i-maintain ang ganitong escalator. Baka mas makakamura pa tayo kung palitan na lang. Hindi lang kasi ito nakasama sa 2025 budget, so ilalagay natin sa 2026,” he told reporters.

(That’s one of the things we’re looking into. But maintaining this kind of escalator is really expensive. We might even save more if we just replace it. It just wasn’t included in the 2025 budget, so we’ll allocate it for 2026.)

The turnover, held at the aging mall’s lobby, formalized the facility’s transfer from the Human Settlements Development Corporation (HSDC), an attached agency of the Department of Agriculture (DA), to the city government.

Magalong said the turnover was a legal and administrative transfer, and “a declaration of our city’s intent to reimagine and revitalize spaces that matter to our people.”

DA Undersecretary for operations and agri-fisheries mechanization Roger Navarro, who represented Agriculture Secretary Francisco Tiu Laurel Jr., called Maharlika “a living symbol of Baguio’s resilience,” citing the center’s survival of the 1990 earthquake, various typhoons, and the COVID-19 pandemic.

“With the lease set to end, and after thoughtful discussions with city leaders, we now entrust Maharlika’s future to the city government,” said Navarro said.

He said the DA was optimistic that “this historic space will continue to grow, serving as a cultural and economic cornerstone for the people of Baguio” under city hall’s watch.

The complex was built after the 1970 fire that gutted the Baguio Stone Market.

In 1972, the city council leased the property to MAR-BAY & Company Incorporated, and Maharlika opened in 1982 during the term of then First Lady Imelda Marcos, who served as minister of human settlements. The lease was extended to 50 years, and ended last April 27.

In 2009, then-president Gloria Macapagal-Arroyo ordered the old mall’s turnover to city hall, but HSDC remained in control until this week.

The city council authorized Magalong to begin negotiations for its return in 2019.

“It has taken time, but the result is proof of what persistence, constant dialogue, and good governance can achieve,” Magalong said.

Baguio City Budget Officer Leticia Clemente said the mall operations will proceed under a status quo setup while a transition team develops a master plan.

“We’re drafting policies and temporary guidelines for administration, while ensuring continuity for existing tenants,” the Baguio Public Information Office quoted Clemente as saying on Tuesday, May 27.

City hall will also immediately oversee parking operations, but Maharlika’s financial records will remain separate until new systems are in place.

Based on HSDC data, more than 600 business establishments operate in the complex, but Clemente said not all have complied with government requirements.

“The City Treasury Office is working to ensure these businesses secure their permits,” Clemente said.

And with that, the long-delayed transition is complete. Now, all eyes are on city hall – and the escalators. – Rappler.com