SM HOTELS and Convention Corp. (SMHCC), the hospitality arm of SM Prime Holdings Inc. (SM Prime), is accelerating its national expansion plans, with two new hotel projects slated for Cebu as part of a total of seven new properties set for completion by the end of 2029.
This strategic move will increase the SM property group’s hotel count from 10 to 17, boosting its total room inventory by 51 percent, from 2,602 to 3,923 rooms. The majority of this new inventory, totaling 969 rooms, is expected to be delivered by 2028.
SMHCC’s ambitious five-year growth plan is supported by a P10 billion capital expenditure program, which will be entirely funded through internally generated cash flows.
Six of the new hotels will be branded as Park Inn by Radisson, while one will be a Radisson hotel, reinforcing SMHCC’s presence in the midscale and high-end segments. This expansion leverages synergies with SM Prime’s diversified property network, including malls, event spaces, and mixed-use developments.
“This rollout reflects our belief in the long-term potential of the Philippine domestic travel and tourism market,” said SMHCC executive vice president Peggy Angeles, in a disclosure to the stock exchange. “We are building on the strength of regional tourism while delivering quality accommodations that enhance the value of our ecosystem of malls, events spaces and mixed-use developments.”
Beyond Cebu, the remaining new hotels are strategically distributed in other regional growth corridors: two in Calabarzon, one in Central Luzon, and one in Laoag. Only one new hotel is planned for Metro Manila. These locations were chosen based on their tourism potential and their integration with existing SM Prime assets.
SMHCC’s current hotel portfolio spans luxury (Conrad Manila, Radisson Blu Hotel Cebu), leisure (Taal Vista, Pico Sands) and business hotels (Park Inn by Radisson, Lanson Place Mall of Asia).
“Our hotels serve as catalysts for local economic activity,” Angeles added. “We are focused on creating long-term value—through jobs, tourism flows and sustained growth that enhances SM Prime’s diversified revenue base.” / KOC