Century Properties forays into hotel development in PH, partners AccorHotels
Philippine real estate firm Century Properties Group Inc has started its first hotel development business in partnership with hotel group AccorHotels for the management of the first Novotel Suites Manila.
Century Properties informed the stock exchange on Tuesday that it entered the partnership through its subsidiary Century Limitless Corporation (CLC).
Century Properties chief operating officer Marco Antonio and AccorHotels COO Patrick Basset represented their companies in formally signing the partnership in Manila on Monday.
Estimated to be completed in 2019, the Novotel Suites Manila at Acqua will be a four-star, 41-storey tower hotel and residential mixed-used property, located in the sixth tower of Acqua Private Residences in Mandaluyong City, Metro Manila.
The tower will be divided into two distinct areas: approximately 149 units of residences and 310 Novotel Suites, 152 of which will be owned and sold as preferred shares through the Century Fractional Ownership Program (CFOP), while 158 hotel units will be retained by CLC.
The CFOP is a program by Century Acqua Lifestyle Corporation (CALC), a subsidiary of CLC. The program is the first of its kind in the Philippines, which allows the purchase of preferred shares of CALC.
Total revenues from the sales of both residential and fractional ownership units are approximately $64.2 million (P2.9 billion).
Novotel is a four-star international brand for business and leisure travelers, with 414 hotels and 79,220 rooms located in major international cities, business districts and tourist destinations in 61 countries worldwide.
Antonio described the partnership as “a strategic one” citing the booming Philippine tourism and hospitality sector.
“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,” Antonio said.
Century Properties reported that contributing to Metro Manila’s hotel boom are the year on year increase of foreign visitor arrivals (at 3.25 per cent to 4.8 million in 2014) and the 44 million-strong number of domestic tourists, coupled by healthy growth forecasts on tourist arrivals until 2030 for emerging economies in Asia.
Century Properties’ last trading price remained at P0.87 since yesterday.
Source: Deal Street Asia
| June 22, 2015
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