Real Estate Newsline, December 18-26, 2019

News Headline Negative Neutral Positive

Tourist influx to fuel hotel Tourism

industry boom
Hospitality

The ratings are done to provide guidance regarding risks associated to real estate sector. This aims to help credit
officers and Unibankers in identifying risk/industry attractiveness. News content are classified Positive, Neutral,
and Negative in relation to the industry forces such as market rivalry, barriers to entry, supplier power, buyer
power, and effect on substitution.

Positive – If there is a significantly favorable effect/change to the industry.

Neutral – If there are no significant effect/change to the industry.

Negative – If there is a significantly unfavorable effect/change to the industry.

I. REAL ESTATE SEGMENT

Tourist influx to fuel hotel industry boom

Colliers International expects the local hotel industry to boom this year in line with the expected
surge in foreign tourist arrivals in the country.

Colliers ees at least 6.6 million foreign tourists visiting the country this year, 10% more than the
5.97 million recorded in 2016. Colliers’s forecast, however, is lower than the government’s
projection of a 17% year-on-year growth or seven million foreign visitors for 2017.

Colliers said the warming relations between the China and Philippines should like-wise result in
more Chinese tourists, with an agreement on tourism cooperation signed between the
Philippine and Chinese governments last year expected to bear fruit in the next six to 12
months.

In addition, the tourism sector should benefit from the spillover impact of the successful hosting
of major international events the past two years such as APEC Summit, ASEAN Tourism Forum,
Routes Asia and Miss Universe pageant. These developments bode well for the country’s hotel
industry.

(https://stockdailydish.com/tourist-influx-to-fuel-hotel-industry-boom/)

II. NEW PROJECTS OF REAL ESTATE COMPANIES

CEBU – RETAIL

Resort mall concept arises from Cebu’s tourism edge

While retail business is seen to surge further in the coming years, Cebu’s edge in tourism opens
up a lucrative opportunity for resort mall concept. Cebu’s retail landscape will be boosted
further by the strong demand for resort malls, as foreign and local tourists alike want to feel the
vibe of Cebu urban resort feel. Thus, developers are encouraged to cash in on the expected
surge in spending. Contrary to impressions that Filipinos are still cash-strapped.

(https://www.philstar.com/the-freeman/cebu-business/2019/12/18/1977971/resort-mall-
concept-arises-cebus-tourism-edge)

CEBU – OFFICE

AppleOne partners with IWG in co-working space venture

AppleOne Properties Inc., (API) enters into co-working space development in partnership with
International Workplace Group (IWG). API formally signed the franchise partnership agreement
with IWG, which is the first IWG franchisee in Asia Pacific to help the global flexible workspace
provider boost its footprint in the Philippines. API is looking at providing at least 2,500 flexible
working stations in different sites in the Visayas like Cebu, Lapu-Lapu, Dumaguete, Iloilo and
Bacolod in five years.

(https://www.philstar.com/the-freeman/cebu-business/2019/12/19/1978153/appleone-
partners-iwg-co-working-space-venture)

BOHOL – HOSPITALITY

4 groups keen on Panglao resort

According to the Public Private Partnership (PPP) Center, four interested proponents have
submitted the initial required documents to the TIEZA Joint Venture Selection Committee (JVSC)
for the Balicasag Island Dive Resort project. These groups are PH Resorts Group Holdings, Inc.;
Filinvest Development Corporation and Filinvest Hospitality Corporation; Philippine Travel
Factory & ST World, Inc.; and Panglao Bay Premiere Parks & Resorts Corp.

The selected partner can redesign, reconstruct or rehabilitate the 20-hectare golf course and its
facilities. However, the design and construction will need approval from the Intramuros
Administration.

(https://www.bworldonline.com/4-groups-keen-on-panglao-resort/)

VARIOUS AREAS – HOSPITALITY

14 new Accor hotels to open in PHL in 5 years

The Accor hotels is expecting to launch 14 new hotels in the Philippines in the next five years.
Accor SA, which currently operates eight hotels in the country, signed a record-setting nine new
hotels for the Philippines in 2019. Accor will be introducing six new hotel brands in the
Philippines, including Pullman Living, MGallery, Swissotel, Novotel Living. and Ibis Styles. The
brands currently present here are Raffles, Fairmont, Sofitel, Mövenpick, Novotel and Mercure.

(https://www.bworldonline.com/14-new-accor-hotels-to-open-in-phl-in-5-years/)

PARAÑAQUE CITY AND CAVITE – MIXED-USE

D.M. Wenceslao proposes new reclamation projects

D.M. Wenceslao and Associates, Inc. (DMW) submitted two proposals to the Philippine
Reclamation Authority (PRA) for the reclamation projects in Parañaque City and Cavite.

In Parañaque City, DMW plans to reclaim a 400-hectare land in front of its flagship project
Aseana City and Philippine Amusement and Gaming Corp.’s (PAGCOR) Entertainment City to
expand its previous agreements with the government. The new proposal involves giving the
government a total of 200 hectares in the reclamation sites for free.

While in the Cavite proposal, DMW is seeking to reclaim 335 hectares of offshore island at the
old US naval facility in Sangley. It said this plan is in anticipation of the international airport eyed
by the local government to be built there.

(https://www.bworldonline.com/d-m-wenceslao-proposes-new-reclamation-projects/)