By Richmond S. Mercurio (The Philippine Star) | Updated January 25, 2015 - 12:00am
MANILA, Philippines - Panlilio-owned Boulevard Holdings Inc. (BHI) hopes to finally complete its new resort development in Puerto Galera this year.
The listed property firm has had problems finishing the resort project as it waited for additional funding.
“Management expects the soft opening of the new resort within 2015,” BHI said.
The 38-key resort hotel project under construction in Oriental Mindoro is being undertaken by BHI subsidiary Friday’s Puerto Galera Inc.
BHI said the project was already 65 percent complete last September, but noted that “there are no changes to the unfinished resort placed on ice and awaiting funding.”
Cost to complete the project was then placed at P150 million.
The company, however, said its equity has now increased due to continuous payment of JP Guilds Inc., a major stockholder on BHI subscription of common shares.
“The ongoing Friday’s Puerto Galera Inc. hotel construction in Oriental Mindoro will require funds for its capital expenditures. Funds will come from the continuous investments of BHI through equity infusion of JP Guilds Inc.,” the firm said.
BHI said it expects to soft open the first 20 keys of the resort within the year.
It said the project would help boost the company’s revenues in the future.
As of the first six months of its fiscal year ending November, BHI said it suffered a 37 percent decrease in sales and 32 percent drop in total revenues due to “lower saleable rooms brought by the usurpation of property as well as forcible entry by the son of the previous owner of a parcel of land at Friday’s Boracay which directly affected the sales for the period.”
The lower revenues resulted in a net loss for the period of P10.69 million, BHI reported.
BHI and its subsidiaries, owned by businessman Jose Panlilio, develops real estate such as leisure, hotel and tourist estates, as well as residential and office condominiums
The company operates Friday’s Boracay Beach Resort through subsidiary Friday’s Holdings Inc.