Seda to invest up to P10 billion in 5 hotels

MANILA, Philippines — Ayala-led Seda Hotels is spending as much as P10 billion for the development of five hotels, in line with its target of having a total of 3,268 rooms in 11 locations by 2020.

Seda group director of sales and marketing Melissa Carlos said the three hotels are Seda Residences Makati, Seda BGC tower 2 and Seda Cebu IT Park.

Seda Residences will be in the Ayala North Exchange development beside the Makati Medical Center on Ayala Avenue. 

“This will be followed by Seda BGC’s tower 2 and Seda Cebu IT park, also made up of serviced residences that will cater to global travelers coming in due to Cebu City’s rapid growth driven by tourism and other infrastructure projects,” Carlos said.

In 2020, the group will open two more hotels namely Seda Manila Bay in Aseana City with 350 rooms and a second tower for Seda Nuvali which will have 206 rooms.

The five upcoming projects will add a total of 1,405 rooms to the company’s current portfolio of 1,863 rooms.

“We are also expanding into new categories such as serviced residences, resorts and large city formats as part of our efforts to tap the MICE market as well as weddings in addition to business and leisure,” Carlos said.

The homegrown hotel brand currently has projects in BGC, Cagayan de Oro, Davao City, Nuvali in  Laguna, Iloilo, Quezon City, Bacolod, Cebu and at the  Lio Tourism Estate in El Nido, Palawan.

Seda senior group general manager Andrea Mastellone said the hotel brand is targeting both business and leisure travelers.

Apart from entering new locations, Seda will also expand two of its properties particularly its hotels in BGC and Nuvali.

Seda BGC Tower 2 will be a 24-storey building which will have a full-sized function room that can seat 250 people and its Misto restaurant will be able to accommodate 300 people.

About 48 rooms will be serviced residences ranging from studios to two-bedroom units.

“We are confident we will be able to maintain our high occupancy rates now hovering in the 80s, despite the entry of more players in BGC,” Carlos said.

Meanwhile, the group is also set to add 206 rooms to Seda Nuvali.

“The additional rooms will cater to guests doing business in the nearby industrial zones on weekdays, as well as families and wedding parties seeking an alternative to Tagaytay on weekends,”Carlos said.

Mastellone said rates for its Metro Manila and Cebu hotels range between P6,000 to P8,000 a night, while rates for its provincial hotels hover between P3,000-P4,000.

In terms of entering the serviced residences market, Carlos said the group would only choose locations where demand for this type of accommodation is high.

She said these serviced residences are targeted towards guests who stay more than the usual two nights.

Rates for the group’s serviced residences are seen to range from P7,000 to P9,000.