Thursday, June 04, 2009 [ manilatimes.net ]
The SM group announced that it plans to open its first businessman’s hotel in the next three years in a bid to boost its foray in the tourism industry and complement the businesses of its operating units.
Merril Yu, SM Investments Corp. (SMIC) senior vice president for hotel investments, said the company is planning to develop 14 hotels with 50 to 150 rooms within the areas where its various super malls are located.
SMIC will be building its first batch of hotels in Metro Manila and Cebu and would spend about P1.4 million for every room. The businessman’s hotel chain would be marketed under the brand SM Casa.
According to Yu, a businessman’s hotel strips down amenities to simple necessities needed by people who are usually mainly looking for a place to stay while away from home.
SMIC earlier this week said that it has allocated another P700 million for capital expenditures for the business, which will be spent until 2012.
“The capex includes two sites that begin the rollout with additional capex later,” Yu said.
The SM group is pursuing all tourism businesses under its Tourism and Entertainment division. Harley Sy, SMIC president, said the new unit will serve as a vehicle for a large-scale opportunity to promote Philippine tourism and is expected to fuel the company’s continued growth.
The new division carries the company’s interests in various hotels and tourism-related businesses of the firm, starting with its flagship Hamilo Coast in Batangas, hotels like Radisson Hotel in Cebu and in Mall of Asia in Parañaque, the Taal Vista Hotel Tagaytay in Taal, Batangas, and the company’s project in the Philippine Amusement and Gaming Corp.’s (Pagcor) Pagcor City beside the Mall of Asia.
-- Chino S. Leyco
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