Hotel reports high occupancy, banks on corporate markeT

Tuesday, October 25, 2011

DESPITE being new in the hotel industry, Harold’s Hotel is recording an average of 70 percent occupancy since it started operating early this year.

A company official attributed the growth to Cebu’s vibrant hotel industry and the company’s good market planning and investment.

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Rey Fuentes, chief operating officer of Platinum Beacon Strategic Management Corp., said the hotel has found a niche market to serve, with the growing number of corporate functions here. Fuentes said most of its guests are from local corporations with business dealings in Cebu.

Platinum Beacon is the property management firm of Harold’s Hotel. It is responsible for the hotel’s market opportunities and positioning, product development and operations.

Facilities

Harold’s Hotel is a P300-million hotel on Gorordo Ave. in Lahug that serves the “upper mid” market. The 12-storey hotel has 90 rooms: 36 superior rooms, 45 deluxe and nine deluxe suites.

Fuentes said the establishment of the hotel is also meant to cater to the growing number of tourists in Cebu.

Domestic arrivals in Cebu grew by 6.42 percent in the first eight months of the year or 750,643 from 705,380 arrivals in the same period in 2010, according to the Department of Tourism 7.

While majority of their guests are from the domestic market, Fuentes also noted that the hotel has a good number of foreign guests.

“Filipino brand hotels are faring well despite the presence of international hotels,” Fuentes said. He said the hotel’s edge lies on its good market planning and investment. He said the hotel is also strategically located, just minutes away from Cebu’s financial district.

Among the hotel’s amenities are a business center, function rooms, fitness center; dining and entertainment facilities like H Café, Highlights and Bread and Co.

“The hotel started well this year. The concern now is how to sustain or surpass the occupancy rate for next year,” Fuentes said.

Land banking

Meanwhile, the hotel’s developer, GPH Properties, is strengthening its land banking activities in Cebu.

Fuentes said the company owns properties in the Asiatown I.T Park and Cebu Business Park. He, however, declined to disclose details of future projects.

“But we are constantly looking for property opportunities here,” he said.

Fuentes also downplayed concerns over a glut of property developments in Cebu. He said that so long as there is continued growth in population, basic economic needs such as homes and office spaces will continue to grow.

Fuentes, however, said the industry should manage the economic cycle so as to prevent a glut in property development.

Published in the Sun.Star Cebu newspaper on October 26, 2011.