Grand Plaza Hotel Corp. (GPH) will conclude its 9-year-old leasing agreement with the Philippine Amusement and Gaming Corp. (Pagcor) on July 10, after three consecutive contract renewals.
In a statement released a the Philippine Stock Exchange on Friday, GPH said that it will end the leasing agreement of Pagcor to Heritage Hotel because it has exhausted the renewal of the contract every three years.
According to GPH disclosure, Pagcor “will not renew the contract of lease upon its expiration on July 10.”
Pagcor renewed the contract third and last time on March 30, 2010, which provided another three years of casino operations for GPH.
The leasing agreement between Pagcor and GPH started in August 1993, and by the time GPH opened Heritage Hotel in 1994, Pagcor started its rental of the hotel.
Since 1993, Pagcor rented 4,745 square meters of hotel area, accumulating to a monthly rental of more than P10 million.
Heritage Hotel is the main hotel owned by GPH, situated along Roxas Boulevard, Pasay City.