Owning parts of a hotel
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Aqua Boracay by yoo in the Philippines allows owners to rent their apartments out under the management services. |
"We're targeting the Asian market, such as Hong Kong and Singapore, due to the growing economy. Also, a new international airport to be opened in 2015 will make it easier for them to fly directly to Boracay and bring more tourists in as well," Biggiogero says.
According to Daodao.com, global travel website TripAdvisor's customized version for Chinese travelers, Boracay ranked as the 16th most popular destination for Chinese tourists.
Biggiogero is going to Shanghai in early 2014 to explore the Chinese mainland market and is confident about success.
He says his strategy is offering the quality attractions of a resort hotel, with capital appreciation. In the first three years, the company guarantees a rental yield of three percent, under certain circumstances in exchange for limited use of the unit by the owner.
According to him, the resort hotel market in the Philippines is not as developed as that in Thailand and Malaysia but is very promising.
"If the market is like a watch, the Philippines is still at 6 o'clock, while the other countries are at 10 o'clock. It has great potential. I think the Philippines is attracting more and more investors not only for its GDP growth, but also its stability," he says.
Typhoon Haiyan struck the central Philippines in early November and caused many casualties and losses. But Biggiogero says Boracay is not on the typhoon belt and it is protected by surrounding islands.
Similar projects are also targeting the Chinese and Asian market.
Olivier Croonenberghs, partner of Swiss Finance and Property AG, came to Beijing recently to promote The Chedi Andermatt residences developed by Orascom Development Holding AG - a luxury five-star hotel and residence development in Andermatt, central Switzerland.
It has 50 hotel rooms and 119 residences for sale, with such facilities as restaurants, a spa and a gym.
