Pre-selling of 2,251 new rooms set this year, with P11-B expected sales
DOUBLEDRAGON Properties Corp. will begin preselling for three new Hotel 101 hotel projects this year, which will add 2,251 new rooms to the company’s hotel portfolio.
In a statement disclosed to the exchange on Wednesday, DoubleDragon Properties said it will be launching Hotel 101-Cebu, Hotel 101 Resort-Boracay, and Hotel 101-Libis in the next three quarters.
“The completion of these new Hotel 101 projects will be perfectly timed with the full recovery and anticipated rebound in the tourism industry in the Philippines,” Hannah Yulo-Luccini, chief investment officer at DoubleDragon Properties, said.
Hotel 101 is a three-star hotel, which is said to generate revenue and income twice. The company earns from the preselling of the condotel units and from hotel operations revenues.
The company expects to earn P11.03 billion in sales revenues from the three new projects.
“The Hotel 101 model has proven to be truly resilient, even in these circumstances it was able to deliver as much as 6.72% gross annual yield to its original Hotel 101-Manila unit owners, which is much higher than most corporate bond yields last year,” Ms. Yulo-Luccini said.
The listed property developer said Hotel 101 maintained an occupancy rate of 80.11% even amid the pandemic, as it provided accommodation to employees of business process outsourcing companies. Inventory of Hotel 101-Fort was also fully sold out in 2020.
Rooms dubbed as “Happy Rooms” feature amenities of a studio unit, such as a kitchenettes.
Hotel rates depend on the supply and demand of a specific period, with prices varying multiple times everyday.
“As far as we are aware, Hotel 101 is the only hotel concept of its kind in the world, the Patent documents for Hotel 101’s unique and pioneering concept has already been filed,” DoubleDragon Properties Chairman Edgar “Injap” J. Sia II said.
DoubleDragon Properties plans to shift into an investment holding company with subsidiaries in multiple industries. It is seeking approval from regulatory authorities to change its corporate purpose and to rename itself as DoubleDragon Corp.
The company has multiple subsidiaries, which include Hotel of Asia, DDMP REIT, Inc., CityMall Commercial Centers, Inc., and CentralHub Industrial Centers, Inc. It plans to push subsidiaries to conduct initial public offerings “when the right time comes.”
“Hotel of Asia’s Hotel 101 will be one of the driving forces of DD’s core growth in real estate, which is the first industry leg it has formed,” Mr. Sia said.
Shares of DoubleDragon Properties at the stock exchange went down by 0.31% or P0.04 to close at P13.02 apiece. — Keren Concepcion G. Valmonte