Cebu Plaza closed in 2003 after its then owner, Pathfinder Holdings Philippines, was effectively foreclosed by Metrobank for a P900-million unpaid loan, for which the hotel was used as collateral.
The Metrobank Group’s Asia Pacific Management Corp. and MPHG will sign this week a contract that will allow the resumption of operations of Cebu Plaza, which will be renamed Marco Polo Plaza Hotel.
MPHG was chosen for its quality, reputation, and vision to deliver a product that the city of Cebu would be proud to have, Metrobank said.
Metrobank has promised to reopen Cebu Plaza this September ahead of the well-attended Philippine Advertising Congress scheduled for November.
The reopening of Cebu Plaza will add about 300 new rooms to Cebu’s accommodation supply, which is critically short at peak periods and has been blamed for the high room rates in the city.
The MPHG is one of the leading hotel brands in the region and has built a solid platform for expanding its Asian network of quality hotels.
Owned by The Wharf (Holdings) Ltd., a prestigious Hong Kong public company, the MPHG has a portfolio of nine properties, including four in China, three in Hong Kong, one in the Philippines, and one in Vietnam.
Over the next four years, MPHG plans to develop and operate an additional five to seven prestigious hotels in prime locations that are complementary to its existing network.
Months after Cebu Plaza closed, the Gatchalian-led Waterfront Management Corp., the hotel management subsidiary of Waterfront Philippines Inc., expressed its intention to manage the hotel for Metrobank.
Metrobank has been trying unsuccessfully to sell the property ever since, but apparently had not found any buyers with attractive offers. Metro Pacific Corp. has reportedly been involved in discussions at one stage.
Through its property arm Federal Land Inc., the Metrobank group has been in the real estate business for 33 years specializing in high rise residential and commercial projects.
Federal Land is the developer behind well-known projects including Bay Gardens condominium, a luxurious residential community located on Roxas Blvd.; executive condominium Oriental Gardens on Chino Roces Ave.; and the 1,800-square meter events hall Le Pavillion also on Roxas Blvd.
It earlier launched Marquinton or Marikina Town Center, a P5-billion masterplanned community that will house medium-rise residential condominium buildings and a mini-mall. – Zinnia Dela Peña