Soberano remains bullish on hotel projects in Cebu

CEBU, Philippines — Real estate developer Cebu Landmasters Inc., (CLI) remains bullish on hotel development prospects in Cebu and other parts of the Philippines, amid the strong entry of home-sharing platform.

CLI chairman and chief executive officer Jose R. Soberano III, said while Airbnb is gaining patronage among travelers, its entry is more of complementing the fast rising demand for rooms in the Philippines, more so in the islands like Cebu.

“Demand is so much. We are coming in from low based, and the room for growth is huge,” said Soberano comparing the Philippines with Thailand, which fetched 38.27 million tourists in 2018.

Last year, the Philippines recorded only 7.1 million tourists, way far behind Thailand’s.

Thus, Philippines still has a lot of room to grow in tourism and accommodation is a business that comes hand in hand with it.

Soberano, whose company also builds residential condominiums, added that even buyers of his condominiums are offering their units for airbnb, an indication that accommodation business is growing in a surprising speed.

Recently, CLI announced to build at least 15 hotels in the next three to five years.

At present, CLI has existing partnerships with Ascott Limited’s Citadines and Lyf and Radisson’s Red brands.

Soberano believes that hospitality business in the Philippines is another promising sector, and CLI is going to ride with its growth.

Moreover, Soberano is also banking on the young generation who spend on travel as if it is already part of their budget.

He also understood that while Airbnb is posing as threat to the traditional structured hospitality business, this will also improve the services of the hotels and resorts offering packages that cant be given by a mere house-sharing accommodation style.