Century inks deal with Accor Hotel group to operate Novotel
CENTURY Properties Group Inc. (CPG) on Monday said it sealed a partnership with French hotel operator Accor Hotel to manage the developer’s first businessman’s hotel venture in Mandaluyong City that also offers fractional ownership to the hotel.
The company said its unit, Century Limitless Corp., signed the deal for the operation of 310-unit Novotel Suites Manila in Century Properties development in Mandaluyong, called Acqua Private Residences. The facility will open in 2019.
“This partnership is in line with our company’s thrust to support the growth of tourism in the Philippines, to use our extensive experience in developing premium residential spaces to deliver quality hotel projects, and to strengthen our portfolio while we create value for the company and our shareholders,” Century Properties Chief Operating Officer Marco Antonio said.
The 41-story tower is the sixth in a complex of buildings in the Mandaluyong side in the former Noah’s Ark sugar-milling refinery, right in front of Rockwell Center.
About a third of the building’s total units, or about 149 units, will be allotted for residences and some 310 will be for the suites. Some 152 units will be owned and sold as preferred shares through the Century Acqua Lifestyle Corp. (CALC).
The remaining 158 units will be retained by the company.
The first of its kind in the Philippines, fractional ownership program allows the purchase of preferred shares, which are entitled to customized luxury vacation and business stays in 152 units owned by CALC in Novotel Suites Manila at Acqua, the option to enjoy multiple vacation destinations worldwide and hassle-free property management.
There will be 7,904 shares with 608 board lots. The company said the price varies on which type of class shares that will be available for sale depending on the entitlements. Price ranges from P2 million to P5.8 million per board lot.
Total revenues from the sales of both residential and fractional ownership units are approximately P2.9 billion.
Some 22 floors of the building will be occupied by the hotel and fractional ownership units, while the 11 floors will be devoted to residential units.
Unit types for the hotel suites and fractional ownership suites, meanwhile, include the studio, deluxe, premier and superior, with sizes ranging from approximately 31 to 87 square meters.
This is the first hotel venture of the company and Chairman and Chief Executive Officer Jose Antonio said that, by 2020, the company will have more tourism projects, but its vertical and some horizontal projects will continue to grow.
“We will do 4,000 units a year minimum. So we’re balancing our portfolio, from before we do mostly vertical [projects], we’re now going commercial. We’re doing horizontal development, and then leisure and tourism. These are the four legs now of Century. We are not relying on one sector, we need to be stable. Although we’re very strong at it, we’re diversifying our portfolio,” Antonio said.
By 2020, he said its commercial, vertical and horizontal developments will each contribute to the company about 30 percent, while 10 percent for leisure and tourism.
“It’s premature to announce. We see the portfolio to at least double by 2020 from the present projects right now,” he said, referring to its income and revenues.
| June 22, 2015
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