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INTERNATIONAL hotel and resort real estate investment
company Kingdom Hotel Investment Inc. (KHI) is nearing
the completion of excavation in its planned high-end
project in
Makati City with Ayala
Land Inc.
“We’ve
been looking at
Manila for the past years and we’re excited we’re nearing that
goal,” Jeff Tisdall, a vice president of the
Dubai-headquartered KHI, said.
Tisdall
said the project, called Fairmont Makati Hotel and
Raffles Suites and Residences, is part of a $1.3-billion
investment KHI allotted for new developments here in the
Philippines.
According to the firm’s 2007 annual report, KHI’s
initial investment for the Raffles Manila project is at
$153 million (approximately P6.7 billion) and is
scheduled to be finished by the second half of 2010.
The
hotel and high-end residential project will rise at the
corner of Makati and Arnaiz avenues, beside the Landmark
department store and formerly known as Park Square 2
area.
According to the press material during the
Manila launch, the hotel will be a 30-story tower with 30
residential suites and an exclusive access road for
residents and guests. The annual report of the Dubai
Stock Exchange-listed firm said, however, the
development will have 330 rooms and 226 apartments.
Tisdall
said that they are expecting their license to sell to be
released next week.
According to London-based investment company, Seven
Continent Investment Group, the exclusive prerelease
prices of these suites start at $225,000 (P9.9 million).
Tisdall
added that once they get their license to sell, “we can
speak about the other components of the project.”
Manila
was selected by the company from its observation that
there’s a limited supply in the country’s luxury room
market.
The firm
said the Philippine market mirrors a rising trend to buy
high-end luxury residences with future supply
well-spaced out.
In
addition, travel and tourism is expected to grow by 6
percent per year through 2017.
There’s
limited competition provided by six hotels, the company
said adding that its direct competitor is already 13
years old, although KHI didn’t name this competitor.
A year
after going public in 2006, KHI announced the Raffles
Manila project in March, last year as an apartment-type
hotel with 226 units.
In
December, 2007 the company said it bought 80 percent of
the economic interest in KHI-ALI Manila Inc. for the
purpose of developing a Raffles hotel and a Fairmont
hotel, as well as constructing and selling a condominium
residence in the country.
Chaired
by Prince Alwaleed Bin Talal Bin Abdulaziz Alsaud of the
Kingdom of Saudi Arabia, KHI also owns the Four Seasons
chain of luxury hotels. In 2007, it maintains 21 hotels
14 countries in its portfolio with a cumulative room
count of 5,000 rooms. |
