Waterfront Philippines Inc. Revises Manila Pavilion Timeline

Waterfront Philippines Inc., a hotel operator in the Philippines, announced on Thursday that it expects to complete phase one of the reconstruction of its Manila Pavilion Hotel by the fourth quarter of 2024, nearly three years later than originally planned.

The reconstruction, which will include a casino, follows a devastating fire in March 2018 that resulted in the deaths of six PAGCOR employees. The blaze was attributed to faulty electrical wiring.

In the ensuing years, Waterfront Philippines Inc. laid out a plan for a three-phase reopening. Phase 1 was to include the lobby, several food and beverage outlets, the casino, and four hotel floors, and was initially slated for completion in the first quarter of 2022. Phase 2 was expected to be finished by late 2022 and Phase 3 by early 2023, encompassing the remaining hotel rooms, general amenities, and other guest facilities.

The company also detailed a long-term lease between Acesite (Philippines) Hotel Corp., of which Waterfront Philippines owns 56%, and a “related party” holding a sublease contract with PAGCOR for casino operations.

In a Thursday filing, Acesite provided a revised timeline for the hotel’s reconstruction. Phase 1 is now projected to open in the fourth quarter of 2024, followed by Phase 2 in the second quarter of 2025, and Phase 3 by the fourth quarter of 2025.

The company cited a 2021 news report to explain the delay, stating, “The plan for phased opening of the site was based on management’s assumption that the travel and hospitality sectors, which are currently depressed due to the COVID-19 pandemic, will return to pre-pandemic levels starting 2023, given that the government’s vaccination program will take until the end of 2022 to roll out completely.”

Original Story by: IAG