Microtel to build a resort facility in Cebu

Hotel and resort management brand, Microtel Inns & Suites (Pilipinas), Inc. will be opening a Microtel Resort in Cebu on December next year.

The company is currently clenching a deal with a local investor for a franchise arrangement to build a 150-room resort at Punta Engaño in Mactan Island.

In an interview with Dean Y. Cid, resident manager of the newly opened Microtel Boracay, he said that Microtel, together with its sister company Paramount Property Management Corporation, and the land-owner is going to build an eight-storey resort facility near the Shangri-La's Mactan Island Resort.

This deal he said will be a 100 percent franchise of the land-owner whom he only identified with a family name Benedicto.

This means, that the land-owner will have to invest for the construction of the property, and Microtel's involvement solely on the management.

If the Cebu Microtel Resort will finally open, this will be the largest facility to be managed by the hotel brand in the Philippines. Most of the properties currently being managed by the company are small room capacities, from 50-room to a hundred.

Microtel is the brand management company, while Paramount is the property management firm, both almost have the same set of stockholders.

Microtel is the hospitality arm of the Phinma Group. It was established in 1997, incorporated in the state of New York, USA as private company.

On the other hand, Paramount Property Management specializes in property management though it also covers the full range of expertise in all areas of the hospitality industry, including hotel management, food & beverage operations and restaurant franchising.

Paramount was established in 1998 as the first all-Filipino property management company to introduce internationally accepted hospitality industry standards to the local property market. Its principal stockholders are PHINMA, Inc. and Emar Corp., corporations with extensive interests in education, energy, property development, steel manufacturing and investment banking among others.

The long term plan of the company, is to open at least two Microtel-managed resorts or hotel in Cebu, Cid said.

In October of 2007, Microtel will open a hotel facility in Davao, in partnership with the prominent Florendo family.

Next year, Microtel targets to open at least three hotels in the Philippines. Davao is opening on October 2007, Cebu project is expected to be operational by December next year, and the Cabanatu-an Microtel project to be completed by March 2007.

Currently, Microtel is managing hotel properties all over the country. These are located in Tarlac, Bagiuo, Batangas, Cavite, and recently Boracay.

In some of these properties, Microtel and Paramount have incurred investment of the facility, meaning the ownership is shared between the partner and the company, it's not only management.