Filinvest Development tops off first hotel in its new 'Grafik' brand

Filinvest Development Corporation [FDC 5.40, down 1.6%; 0% avgVol] [link] said that its subsidiary, Filinvest Hospitality Corp. (FHC), topped-off its newest hotel in Camp John Hay called Grafik Hotel Collection Baguio. The 256-room project cost P2.7 billion to complete and will begin commercial operations in Q1/25. This hotel is the first under FHC’s Grafik brand and the seventh FHC’s overall hospitality portfolio. FHC has two other brands (Crimson and Quest) that each have three hotels.

MB bottom-line: This is the kind of development that I was talking about a couple of days ago when I said that the hotel and tourism industry is in a growth phase. A high tide floats all boats. In a market like this, there are no really bad choices. Everything gets built and everything is made shinier by the tailwinds of the tourism recovery boom and the government’s prioritization of both international and domestic travel as one of the pillars of our long-term economic growth. At some point, though, the best move will be something other than “build anything anywhere right now”, and that’s when the true players in the tourism game will have the opportunity to acquire assets from smaller developers (or just the entire smaller developer) during the consolidation phase. Until then, it will be interesting to see how these facilities perform. They’re going to be buried fairly deep in the quarterly and annual reports, but I suspect that there will be a lot of interesting data that one could put together if one was so inclined.

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