HotelsPhilippines hotel chain eyes international expansion.

Can’t afford to buy a hotel? Buy just one room

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DoubleDragon plans to sell rooms in four hotels it will build in Davao City in southern Mindanao island.
DoubleDragon plans to sell rooms in four hotels it will build in Davao City in southern Mindanao island.

In December last year, DoubleDragon announced plans to set up subsidiaries in Singapore, Hong Kong, Japan, the United Kingdom, Italy and the U.S. to sell rooms to local investors.

The Philippines’ Hotel 101 chain is aiming for more properties overseas through a novel investment strategy.

The chain is owned by DoubleDragon Properties, a local real estate developer. It plans to open offices in Japan, the US, and elsewhere to reach out to potential foreign investors.

The chain’s investment model is to sell individual rooms to investors and distribute the profits from its hotel management business to them.

In December last year, DoubleDragon announced plans to set up subsidiaries in Singapore, Hong Kong, Japan, the United Kingdom, Italy and the U.S. to sell rooms to local investors.

Media reports noted that with a high occupancy rate at its flagship Hotel 101 Manila last year, some investors earned coupon yields of more than 7%. DoubleDragon earned US$35.95 million in hotel room sales in 2018, an increase of 140% over the previous year, reports said.

DoubleDragon said it plans to sell rooms in four hotels it will build in Davao City in southern Mindanao island, and in other locations.

Its Davao City property will be a 519-room hotel, touted as Mindanao’s biggest when it is completed in 2020. By that time, the chain projects its total room inventory to be 5,000.

The chain also plans to expand into South-east Asia, and it is considering investments in Vietnam, Phuket, and Bali to buy existing hotels or build new ones with local partners. 

DoubleDragon said it hopes to make Hotel 101 the Philippines' first international hotel brand.


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