The hotel arm of listed property developer 8990 Holdings Inc. plans to invest P1.5 billion to expand its hotel portfolio over the next six years, riding on domestic tourism boom.
8990 Holdings President and Chief Executive Officer Januario Jesus Atencio said the company will build three more Azalea hotels and residences in Cebu, Davao and Clark, Pampanga until 2021.
“[We are build] one hotel every two or three years,” he said, noting each hotel will have 100 rooms.
Azalea hotels and residences chain are located in the top tourist attractions of the country in Baguio City and Boracay Island in Aklan.
The completion of three new hotels will bring the 8990 Holdings’ hotel portfolio to around 700 rooms.
“Tourism is fast becoming one of the Philippine cornerstone commercial activities. When low cost airlines started offering travel [at an affordable cost]for the ordinary working class Filipinos and his family, we want to support that,” Atencio said.
On Thursday, 8990 Holdings joined the issuer community of the Philippine Dealing & Exchange Corp. (PDEx) organized secondary market, with its maiden listing of P9 billion fixed rate bonds due 2020, 2022 and 2025.
Apart from being the country’s one of the largest home builders for the masses, the company has expanded its product lines to developing malls and medium-and-high-rise condominium projects.
It is now diversifying its sources of long-term financing with these bond issues.