Alliance Global builds 4th hotel in Newport City

MANILA, Philippines - Alliance Global Group Inc., the investment holding firm of tycoon Andrew Tan, is building its fourth hotel within the 25-hectare Newport City across NAIA Terminal 3 in Pasay City. This will bring the total number of hotel rooms in the integrated urban complex to 1,900 when completed in 2012.

The upscale 540-room Hamilton Hotel is in addition to the completed Marriott and Maxims Hotel in Newport City, and the Remington Hotel which, upon completion in the first half of 2011, will be positioned as a budget hotel.

Groundbreaking for Hamilton is expected to take place in the third quarter this year.

“It is the fourth hotel to rise in Newport City, and it clearly demonstrates both our strong commitment in and our confidence in the potential of the tourism industry in the Philippines,” said AGI president Kingson Sian.

Two more hotels are programmed to rise within the next five years in Newport City, boosting the total room count to 2,5000, making Newport City the country’s single real estate project with the largest concentration of hotel rooms.

Aside from luxury hotels, Newport City boasts of the country’s first integrated tourism estate, Resorts World Manila (RWM), which houses a shopping mall and a 1,500-seat performing arts theater, an exclusive lifestyle club, spas, gaming areas, cinemas and restaurants.

Since its opening in August, RWM, a joint venture between AGI and Genting Hong Kong Ltd., had accommodated two million visitors.

Genting Hong Kong is the world’s third largest cruise line operator and a member of the Malaysian conglomerate Genting Berhad.

With the number of hotel rooms existing and planned, AGI expects RWM foreign visitors to reach 800,000 within the next three years, which could translate to tourist receipts of at least $1 billion.

Direct and indirect employment are likewise expected to increase from the current 8,000 to 25,000 within the same period.

AGI is committed to develop its tourism business aggressively as it aligns its focus with the government’s thrust to boost tourist arrivals in the country and expand the impact of the tourism industry on the rest of the economy, Sian said.

Last year, AGI posted a net income of P4.8 billion, 23 percent higher than the P3.9 billion reported in 2008 on strong output across most its business units. Consolidated revenues grew eight percent to P38.8 billion, of which 46 percent came from its real estate development business, 41 percent from the consumer business while the balance from other income.

AGI has interests in the consumer industry through Emperador Distillers Inc., which produces brandy labels Emperador and Generoso, and the newly introduced The Bar flavored alcoholic beverage, and Golden Arches Development Corp., the master franchise holder of McDonald’s in the Philippines.