LISTED property developer DoubleDragon Properties Corp. said Tuesday it has signed a joint venture agreement with W2JP2 Corp. for the construction of a 519-room hotel in Davao City which is envisioned to become the largest hotel in Mindanao.
Hotel 101 will rise on a 5,300-square meter (sqm) commercial lot along Eco West Drive beside SM City-Davao.
Aside from more than 500 rooms, the project will also boast of a commercial and retail strip and facilities to cater to conventions.
“We envision Hotel 101 to become the largest and most recognized hotel chain in the Philippines, significantly contributing to the recurring income of DoubleDragon, and at the same time providing the market with an innovative, safe and secure investment platform,” DoubleDragon Chairman Edgar Sia 2nd told the local bourse.
The project is scheduled to break ground in the fourth quarter of this year with completion targeted by 2020.
The planned project in Davao will be the third Hotel 101-branded property of DoubleDragon subsidiary Hotel of Asia Inc. (HOA), which already has one such hotel located near SM Mall of Asia and another one in Bonifacio Global City which is under construction.
HOA is targeting to have a total of 5,000 hotel rooms in its portfolio in the next three years.
DoubleDragon recently upgraded its 2020 goal to achieve 1.2 million square meters of leasable space with a mix of office leasing, community mall retail leasing, industrial leasing, and hotels.
Late last month, the company returned to the bond market to raise P9.7 billion via the issuance of its second tranche of peso-denominated fixed retail bonds due 2024.
The issuance is the last tranche under its P15-billion shelf registration program.
Proceeds will be used to fund its retail and office projects until 2020 and the construction of 10 CitiMalls across the country, bringing its operational CitiMalls by the end of the year to 30 malls.
In the next few months, DoubleDragon is slated to launch its first cinema at CitiMalls in partnership with media giant ABS-CBN Corp.