ELI, which is owned by the prominent Benedicto family in Cebu, has entered into the promising hotel business for the first time, in partnership with hotel and resort management brand, Microtel Inns & Suites (Pilipinas), Inc.
In an interview with Grand T. Benedicto president of ELI, he said that the company's target is to invest in another hotel facility at their acquired lot inside the Asiatown IT Park.
"Hopefully everything goes well with this first hotel project [Mactan Microtel]. If we'll be successful with this one, our next target is to open a hotel at the Asiatown IT Park," said Benedicto during the project's launching held recently at the Cebu City Sports Club.
The company, which has a core business into furniture, home furnishing and steel trading, has seen a good opportunity to take advantage of the tourism potential of Cebu.
ELI has signed a deal with the Microtel Inns & Suites [Pilipinas] Inc., for a 100 percent franchise package, which means to invest in the resort facility, tapping the management expertise of Microtel group.
According to Benedicto, part of the agreement is to build a hotel with rooms costing around P1.6 million each. With the 150-room resort, ELI will be investing close to P200 million.
The Microtel Resort in Mactan is expected to open early 2007, in time for the Sinulog Festival, he said.
The resort, which will be the largest hotel facility to be managed by Microtel in the Philippines is situated in a 5,000 square-meter property on Punta Engaño in Mactan Island.
According to Benedicto, the good indicators of tourism in Cebu, which caused the shortage of room supply here, has pushed the company to venture into the hotel business for the first time.
Microtel is the hospitality arm of the Phinma Group. It was established in 1997, incorporated in the state of New York, USA as private company.
Currently, Microtel is managing hotel properties all over the country. These are located in Tarlac, Bagiuo, Batangas, Cavite, and recently Boracay.
In the next 10 years, Microtel Inns & Suites (Pilipinas), Inc. targets to open up a bed and breakfast hotel accommodation in each province across the Philippines.