Fairmont Makati Hotel and Raffles Suites and Residences [30F|com]

[jgacis]

Manila Times


Saturday, March 10, 2007


ALI to set up firms for luxury venture


TO push through with the development of luxury hotels in Makati, the Ayala Land Inc. (ALI) plans to establish new companies in partnership with Kingdom Hotel Investments (KHI).

In a disclosure to the Philippine Stock Exchange, the country’s leading property developer said it would own 20 percent of the planned operating company, with the Dubai-based KHI owning the remaining 80 percent.

The proposed operating company would develop, construct, fit out and operate the luxury hotel complex that will rise within the 7,377-square meter property on Makati Avenue corner Arnaiz Avenue (formerly Pasong Tamo) in Makati. The joint venture is estimated to cost about $153 million.

In an earlier disclosure, ALI said the luxury hotel complex will include a 300-room Fairmont Hotel, a 30-suite Raffles Hotel and 189-unit of Raffles-branded private residences.

Meanwhile, a landholding company would also be established, 60 percent of which would be owned by ALI and 40 percent by KHI through a wholly owned subsidiary. The company will own the property where the proposed hotel complex will be built.

“The proposed joint venture project will enable ALI to capitalize on the growing demand for luxury accommodation in the region and in the Philippines, in particular, given increased investor and business confidence in the country,” the company said.
--Likha C. Cuevas

[thomasian]

We haven't had a hotel project of this scale for such a long time. I hope the next one after this project would be a 6 or 7-Star hotel.

[laquacherra]

according to today's Philstar Kingdom is also planning to build a Raffles Hotel in Panglao, Bohol

[gridloc]

Eto ata yun:


Saudi prince plans to build Bohol resort
By Marvin Sy
The Philippine Star 03/11/2007

President Arroyo announced yesterday that one of the world’s richest men, Saudi Prince Alwaleed Bin Talal Alsaud, is planning to build one of his Raffles resorts in Panglao, Bohol.

In a speech at the Bohol Youth Day celebration, the President said that Prince Alwaleed intends to bring in another $150 million for the project. Earlier, Prince Alwaleed’s Kingdom Hotel Investments forged a tie-up with Ayala Land Inc. (ALI) for a $153-million hotel project at the Makati Central Business District.

Mrs. Arroyo said that the "decision of Prince Alwaleed to invest in Panglao was a result of her discussions with the heads of the oil-rich Kingdom of Saudi Arabia during her state visit last year.

The President said the Saudi Prince has expressed interest in buying the entire property in Panglao held by the Fonaciers, with the help of ALI.

"They would like to buy the whole Fonacier property in Panglao to put up a six-star (luxury) resort," the President said.

The resort would carry the famous Raffles name of Kingdom Hotel Investments, which is chaired by Prince Alwaleed.

Panglao Island in Bohol is one of the most popular tourist destinations in the country, particularly for beach and diving enthusiasts.

The Arroyo administration has made the promotion and development of the tourism industry as among its priorities.

A bill that would provide fiscal and non-fiscal incentives for investments in tourism has been passed in the Senate but is still pending in the House of Representatives.

Once passed into law, the Tourism Act would pave the way for the establishment of tourist enterprise zones where investors would be given a package of fiscal and non-fiscal incentives

[ryanr]

Originally Posted by thomasian

We haven't had a hotel project of this scale for such a long time. I hope the next one after this project would be a 6 or 7-Star hotel.

Since the proposed Raffles hotel in Panglao is allegedly 6-star, the Fairmont & Raffles Hotel in Makati could also be six-star.

[richard24]

with all these good news.., magsusunuran na rin yung ibang chain ng hotels..

[thomasian]

Maybe after the initial hotel in Makati becomes successful. Saka pa lang...

[ryanr]

Looks like KHI is busy with other investments too, including one in Vietnam:
http://www.kingdomhotels.com/latestnews.html

[crappypants]

im sure this is only the beginning if the economy continues to improve more foreign interests will be sparked .

[SKYLINEPIGEON]

thats a whopping 300usd million dollar investment

[laquacherra]

oil price sky-rocketed remember? these guys have so much more money to invest now

[ryanr]

Originally Posted by SKYLINEPIGEON

thats a whopping 300usd million dollar investment

huge for us yes, but not a big deal compared to the multi-billion dollar projects in Saudi Arabia and especially in Dubai, UAE...which i'm sure you are aware of

[SKYLINEPIGEON]

yes thats true , the saudi government is awash with lots of cash and they have embarked on billions of dollars worth of developmental projects but im happy at least that prince waleed the richest man in the middle east is bullish on the philippines

[venntro]

It just makes sense for the Saudi royal family to invest in the Philippines. Filipinos have been working in the Kingdom for several decades now and more and more Saudis are being brought up with Filipino connection from childhood to adulthood. Apart from fellow Arabs, Saudis would have the closest affinity to Pinoys more than any other Asians notwithstanding the religious differences. In fact, Saudi Aramco is a 40% owner of Petron and after that, Saudis have had only minor investments in the country. Now, they are making their presence felt in the country again. Hopefully, it will be the start of the influx of more Petrodollars into the country.

[bustero]

It's not just the Saudi's or the Royals but the whole Region. I've raised money for some Private Equity Funds there and even in a little place like Bahrain, they had US $200 billion sitting around, essentially looking for projects. They are hobbled by things like Sharia Law which prohibits Muslims from Lending thus structuring a deal is made much harder. Plus a lot of money which normally would be in US Bonds have been pulled out due to problems that the Terrorist Provisions in Cash transfers have given them. They not only feel discriminated upon but worse it affects their returns (ultimately the deal killer hehe). So 150 m for a resort. No problem. Chicken na chicken lang iyan specially for a guy like this. His cost of money is so low, if he borrowed baka several basis point below LIBOR pa haha, Maybe he is Libor. Sana we can convince him to build Burj Makati on the site na lang 7000 sq.m. rin iyon with existing rail link ,so maganda.

[venntro]

The area will see a very high concentration of high-end hotels. That's very good! The Fairmont Hotel will be bordered by Dusit Hotel and the Rennaisance Hotel. Then you have Oakwood and of course the Shangrila Hotel further north. Of course the area also hosts the Intercontinental Hotel and the Manila Peninsula on the other side of Makati Avenue. Mandarin Hotel is also further north of Makati Avenue.

[thomasian]

Originally Posted by venntro

The area will see a very high concentration of high-end hotels. That's very good! The Fairmont Hotel will be bordered by Dusit Hotel and the Rennaisance Hotel. Then you have Oakwood and of course the Shangrila Hotel further north. Of course the area also hosts the Intercontinental Hotel and the Manila Peninsula on the other side of Makati Avenue. Mandarin Hotel is also further north of Makati Avenue.

Yes, these are the nearby hotels... I coudn't fit Mandarin though (located further north)

Originally Posted by thomasian

[SKYLINEPIGEON]

its abt time that manila has superior deluxe hotel, rich arabs are kinda of picky when they chooose their hotel they alwayss like to stay in the most expensive hotel in town

[laquacherra]

yeah, in fact, some VIPs, fly in and out of here within a day

[JustHorace]

Wow! Nice project indeed! I love Saudi (nyek!)!

Di ba may proposal din yung Jumeirah na magtayo ng uber-luxurious hotel somewhere in Makati?

If you don't know Jumeirah, they own and operate Burj Dubai, one of the world's most expensive hotels.