SM Hotels and Convention Corp. (SMHCC), the hospitality arm of property giant SM Prime Holdings Inc (SMPH), said Tuesday it plans to open seven new hotels by 2029 as part of a five-year expansion strategy, banking on the continued strength of domestic travel.
The move, which will increase SMHCC’s hotel room count by 51 percent to 3,923 from 2,602, is part of the group’s five-year growth plan, SMPH said in a disclosure to the stock exchange.
SMHCC allocated P10 billion in capital expenditures for the new hotels, to be fully funded through internally generated cash flows.
The majority of the 1,321 additional hotel rooms are scheduled for completion by 2028.
Six of the upcoming hotels will operate under the Park Inn by Radisson brand, while one will be developed under the Radisson brand.
The expansion is expected to strengthen SMHCC’s presence in the midscale and high-end hotel segments while leveraging synergies with SMPH’s extensive property network.
“This rollout reflects our belief in the long-term potential of the Philippine domestic travel and tourism market,” SMHCC executive vice president Peggy Angeles said.
“We are building on the strength of regional tourism while delivering quality accommodations that enhance the value of our ecosystem of malls, events spaces and mixed-use developments,” said Angeles.
Of the seven planned hotels, only one will be located in Metro Manila. The remaining six will be distributed across regional growth centers: Calabarzon (2), Central Luzon (1), Cebu (2) and Laoag (1).
Locations were selected based on tourism potential and alignment with existing SMPH properties.
SMHCC’s current portfolio includes luxury accommodations (Conrad Manila, Radisson Blu Hotel Cebu), leisure destinations (Taal Vista, Pico Sands) and business hotels (Park Inn by Radisson, Lanson Place Mall of Asia).
“Our hotels serve as catalysts for local economic activity. We are focused on creating long-term value—through jobs, tourism flows and sustained growth that enhances SM Prime’s diversified revenue base,” said Angeles.
