Phinma Group bets big on hospitality industry

Phinma Group bets big on hospitality industry

MANILA, Philippines — The Phinma Group of the Del Rosario family is betting big on the country’s hospitality sector, with plans to bolster by more than half its hotel room keys by the end of the decade.

The group currently has 1,230 room keys in its portfolio under the Microtel and TRYP by Wyndham hotel brands.

The group is targeting to grow its portfolio to 2,000 room keys by 2030, said Jose Mari del Rosario, Phinma Hospitality Inc. and Phinma Microtel Hotels Inc. president and CEO.

“We are focusing on growing these two brands in the country because we see that the Microtel and TRYP by Wyndham concepts are perfect for the Philippine market, particularly the mid-market travelers,” Del Rosario told The STAR.

“Microtel offers no-frills, limited service, value-for-money accommodations, with consistent product and service quality. On the other hand, TRYP is a lifestyle boutique brand targeting younger modern travelers,” he said.

For this year, Del Rosario said the group will be breaking ground on more TRYP by Wyndham hotels in prime resort and commercial locations, namely in Samal Island and Bacolod City.

He said each hotel will have 100 to 150 rooms.

Average investment cost for TRYP is at P5 million per room and P3.5 million per room for Microtel.

TRYP Samal is the group’s third partnership with Damosa Land of Anflocor Group.

According to del Rosario, Phinma is also eyeing additional Microtel and TRYP by Wyndham hotels in locations such as Metro Manila, La Union and Palawan as well as key resort and business destinations in the country.

“We are looking at prospect locations that are within three to four hours driving distance from NCR. Also, Mindanao offers growth opportunities given the strong spending power of the markets there supported by the infrastructure development in Mindanao,” he said.

As part of growing the group’s hospitality business, Del Rosario said they are also looking at managing other Wyndham brands in the country, such as Wyndham Garden in Clark.

“We are optimistic about 2024 because domestic tourism continues to be strong with more and more local travelers exploring various destinations in the country. Most of our hotels also have very good occupancy rates because of increased business travel and face-to-face meetings and events,” Del Rosario said.

“The strong outlook for domestic and international tourism plus the sustained build-up of demand from key markets give us the confidence to continue to expand to key business and tourist destinations in the country,” he added.

Due to the traction that the Microtel has been able to achieve, Del Rosario said the group has reached a level of confidence wherein other business model modes will be explored more aggressively.

He said half of the present Microtel locations are on a franchising model with Phinma Hospitality operating it for the owners.

“A new direction we are taking is the condotel model. We believe that with our team’s 25-year track record, our capabilities for sustainability is not a question,” Del Rosario said.

Phinma Microtel Hotels serves as the Philippine master franchise holder of limited-service hotels international chain Microtel by Wyndham and select-service urban hotel chain TRYP.

Phinma Hospitality, on the other hand, manages all the Microtel and TRYP by Wyndham properties in the country. It is also a joint venture partner in several Microtel and TRYP hotels in the country.