Alliance Global eyes being Philippines' biggest hotel developer by 2020
CLIFF VENZON, Nikkei staff writer
MANILA -- Major Philippine conglomerate Alliance Global Group is gunning to become the nation's biggest hotel developer in six years.
"By the year 2020, we envision our group to be the largest hotel developer in the Philippines, with a total portfolio of around 12,000 hotel rooms," Alliance Global Chairman Andrew Tan said in a stock exchange filing on Wednesday.
The conglomerate could not immediately provide a cost estimate for the expansion plan.
These rooms will be offered under 12 different local and global hotel brands, which already include Marriott, Hilton, Sheraton, Westin, Okura and Maxims.
Alliance Global, through property unit Megaworld and gaming arm Travellers International Hotel Group, has so far built 1,900 rooms in its existing hotels -- Richmonde Hotel Ortigas, Eastwood Richmonde Hotel, Marriott Hotel, Maxims Hotel and Remington Hotel in Metropolitan Manila, as well as Fairways and Bluewater in the central Philippine island of Boracay.
By 2020, the Megaworld and Travellers will complete around 8,600 and 3,400 rooms, respectively.
"Once completed, our 12,000 hotel rooms can accommodate up to an estimated 2 million visitors per year," Tan said. "It is one way we can help the government achieve its yearly tourist targets."
The Philippine government is working on enticing 10 million tourists by 2016, doubling from 4.7 million last year.
Meanwhile, Alliance Global will be competing with Philippine real estate giants SM Prime Holdings and Ayala Land, which are also expanding their respective hotel businesses.