By Maya M. Padillo, Correspondent

P96-M Go Hotel backed by Robinsons, Udenna

Posted on October 01, 2015

DAVAO CITY -- Gokongwei-led Robinsons Land Corp. (RLC) has partnered with the Davao-based Udenna Group of Companies, the firm behind Phoenix Petroleum Philippines, Inc., for the first Go Hotel branch in the city, with capital expenditure of P96 million.

The 180-room hotel under RLC’s budget chain is targeted for opening at the end of this year or the start of the next, according to Davao City Investment and Promotion Center Officer-in-Charge Ivan C. Cortez.

“If they can fast-track the finishing touches, they will open ASAP (as soon as possible), maybe December this year or January next year,” Mr. Cortez said.

The Davao hotel, the second branch in Mindanao after the one in Butuan City and the 10th nationwide, is located beside the Phoenix fuel station in the city’s Lanang area.

Mr. Cortez said both RLC and the Udenna Group will be able to avail of the fiscal incentives under the city’s investment code, including exemption from payment of local business tax for three years and basic real property tax for two years.

Listed Phoenix Petroleum, aside from its retail operations nationwide, provides fuel-related services to airlines at the major airports in Mindanao. The company has been the exclusive partner of the Gokongweis’ Cebu Air, Inc. for all flights in Mindanao since 2005.

With the opening of the Go Hotel, Mr. Cortez said they expect a possible increase in flights by the budget airline to Davao City. Cebu Air’s Cebu Pacific currently has four regular daily flights from Manila to Davao City, with additional flights on some days of the week, and flights to and from other domestic destinations. “Go Hotel and other newly opened hotels in the city will add to the attractiveness of Davao as a MICE (meetings, incentives, conventions and exhibitions) destination,” Mr. Cortez said.

Department of Tourism Davao Region Director Roberto P. Alabado, meanwhile, said the Go Hotel-Cebu Pacific discount packages that are expected to be offered will attract more travelers to the region.

Tourism Assistant Secretary Arturo P. Boncato, Jr., for his part, said the opening of additional accommodations in the city strengthens the local tourism industry by prompting opportunities.

Mr. Boncato said, “Increasing our [room] capacity also increases opportunities for more air, sea, and land connections. When we are strong, we become more resilient to challenges and have more space for growth.”