Tag: LeeChiu Property Consultants

Leechiu Property Consultants Sees Lower Foreign Tourist Arrivals to the Philippines this Year

Leechiu Property Consultants Sees Lower Foreign Tourist Arrivals to the Philippines this Year

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During its recent media briefing, property consultancy firm Leechiu Property Consultants Inc. (LPC) says it expects foreign tourist arrivals to the Philippines to be lower this year compared to what was achieved in 2025 due to factors like higher fuel prices and other factors, according to a Manila Bulletin news report.

To put things in perspective, posted below is an excerpt from the news report of the Manila Bulletin. Some parts in boldface…

Leechiu Property Consultants Inc. (LPC) expects foreign tourist arrivals to the Philippines to be lower this year compared with 2025 due to higher fuel costs and more expensive travel.

The number of tourists to the Philippines was flat at 4.4 million in the first eight months of 2026 compared with the same period last year after arrivals started to decline from May to August.

During LPC’s third-quarter media briefing last week, LPC senior manager of hotels, tourism, and leisure Adam Domingo said arrivals grew steadily in the first quarter, peaking at 12-percent growth in February, before momentum stalled in April and turned negative year-on-year from May onward.

The closure of the Strait of Hormuz amid the Iran conflict doubled jet fuel prices, pushing up airfares and prompting flight cuts. Full-year arrivals are now expected to fall below 2025 levels.

“Unless we change how we do tourism at a basic level, foreign arrivals are likely to stay near today’s levels into next year,” noted Domingo.

He added, “The clearest evidence for what works comes from China and India. Where the Philippines made travel easier, through visa-free entry and additional direct flights, arrivals from both markets grew by more than 50 percent in the first quarter, and China has sustained that pace since February. Reducing travel friction produces results.”

The same logic shows up in the hotel pipeline, with about 70 percent of planned hotel rooms located in areas with direct international flights, which shows that private developers are building where access is strongest.

However, there is a gap as some destinations with strong private-sector commitment, such as Puerto Princesa City in Palawan province, are served by international airports that sit underused because they have no direct international routes.

“Developers are betting on these places, but travelers cannot yet fly to them directly. Government can match that commitment quickly by introducing direct international routes to these destinations. Compared with building or expanding airports, new routes can be put in place sooner and can lift arrivals faster,” said Domingo.

On domestic tourism, which earns four times what foreign travelers bring in, Domingo said, “we also need a closer look at the relocation of turboprop flights from Ninoy Aquino International Airport (NAIA) to Clark. Island destinations that depend on turboprops report that business is down.”

Let me end this post by asking you readers: What is your reaction to this recent development? Do you think the Philippines will end up having lower foreign tourist arrivals this year compared to last year? Do you think the national government neglected the tourism industry this year due to its hosting of the Association of Southeast Asian Nations (ASEAN) Summit and meetings at the United Nations (UN)?

You may answer in the comments below. If you prefer to answer privately, you may do so by sending me a direct message online.

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Thank you for reading. If you find this article engaging, please click the like button below, share this article to others and also please consider making a donation to support my publishing. If you are looking for a copywriter to create content for your special project or business, check out my services and my portfolio. Feel free to contact me with a private message. Also please feel free to visit my Facebook page Author Carlo Carrasco and follow me on Twitter at @CarloCarrascoPH as well as on Tumblr at https://carlocarrasco.tumblr.com/ and on Instagram at https://www.instagram.com/authorcarlocarrasco

Leechiu Property Consultants See Bright Future Ahead For Philippine Tourism Due To Key Factors

Leechiu Property Consultants See Bright Future Ahead For Philippine Tourism Due To Key Factors

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There is no denying the fact that the Philippines is having trouble attracting foreign tourists this year but for Leechiu Property Consultants there is still a bright future ahead for the nation’s tourism industry due to growth in domestic tourism and a few other factors, according to a Manila Bulletin news report.

To put things in perspective, posted below is an excerpt from the Manila Bulletin news report. Some parts in boldface…

Although Asian tourist arrivals decline, the Philippine tourism industry is still perceived to be entering “a new era of opportunity” because of the growth in domestic tourism, improved flight connectivity, and the 99-year lease reform.

Leechiu Property Consultants said in its third-quarter media briefing that, as investors refocus on long-duration assets, the country’s hospitality and leisure industries are expected to see renewed capital flows and expanded capacity through 2026.

“With the anticipated growth in domestic and long-haul tourism, along with increased hospitality FDIs (foreign direct investments) driven by the newly-approved 99-year lease to foreign investors, the tourism sector is poised to strengthen its position as a key investment area and a vital pillar of the Philippine economy,” said LPC Director of Hotels, Tourism, and Leisure Alfred Lay.

He said the sector continued its steady recovery in the third quarter of 2025, but “while there are signs of resilience, no significant shifts have yet created real momentum in foreign arrivals. Without a major catalyst, arrivals are unlikely to surpass 2024 levels.”

Traditional leaders, such as South Korea and China, show steep declines, while the USA, Japan, and Australia are emerging as stronger contributors, reflecting changing travel patterns and opportunities to diversify source markets.

While international arrivals remain below pre-pandemic peaks, Lay said “domestic travel is surging toward historic highs, establishing a solid foundation for long-term tourism growth and investment confidence.”

Domestic tourists are projected to reach 58.7 million in 2025, rising further to 62.2 million in 2026, a trajectory supported by the country’s forecast gross domestic product growth by 7.63 percent and 5.8 percent in 2025 and 2026, respectively.

Over the past two decades, domestic tourism spending has outpaced GDP, underscoring the sector’s resilience and capacity to drive nationwide economic activity.

Meanwhile, rising travel demand has spurred a wave of hotel developments nationwide, with a total of 5,210 new keys to be added in 2025—over 4,300 of which are expected to open in the fourth quarter.

A majority of these projects are led by domestic operators, reflecting local developers’ agility in capturing demand across destinations such as Metro Manila, Cebu, Boracay, Davao, and Palawan.

Lay said the newly approved 99-year lease law has created a strong foundation for long-term tourism investment as it provides global investors with the security to pursue large-scale resort and mixed-use developments.

Over time, the law is expected to stimulate foreign direct investment in tourism and hospitality, similar to the trends observed in the Maldives, where long-term leases have transformed the sector into a global investment hotspot.

Let me end this post by asking you readers: What is your reaction to this development? Do you think domestic tourism, improved flight connectivity and the 99-year lease reform will boost Philippine tourism in the short-term? Do you think domestic tourism will keep on growing to life up the nation’s tourism industry as a whole?

You may answer in the comments below. If you prefer to answer privately, you may do so by sending me a direct message online.

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Thank you for reading. If you find this article engaging, please click the like button below, share this article to others and also please consider making a donation to support my publishing. If you are looking for a copywriter to create content for your special project or business, check out my services and my portfolio. Feel free to contact me with a private message. Also please feel free to visit my Facebook page Author Carlo Carrasco and follow me on Twitter at  @HavenorFantasy as well as on Tumblr at https://carlocarrasco.tumblr.com/ and on Instagram athttps://www.instagram.com/authorcarlocarrasco

Ownership of Festival Mall transferring to Filinvest REIT Corporation (FILRT) for over P6 billion

Ownership of Festival Mall transferring to Filinvest REIT Corporation (FILRT) for over P6 billion

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Have you been to Festival Mall in Alabang lately? Some things might change in the near future as the ownership of the shopping and lifestyle mall (first opened in May 1998 as Festival Supermall) is being transferred by the Gotianun Group to Filinvest REIT Corporation (FILRT) in a deal worth more than P6 billion, according to a Manila Bulletin business news report.

To put things in perspective, posted below is the excerpt from the Manila Bulletin business report. Some parts in boldface…

The Gotianun Group is transferring ownership of its flagship Festival Mall-Main Mall in Filinvest City, Alabang, Muntinlupa City to Filinvest REIT Corporation (FILRT) in a P6.26 billion deal that marks the real estate investment trust’s entry into the retail leasing business.

In a disclosure to the Philippine Stock Exchange, Filinvest Land Inc. (FLI) said it is selling the 26-year-old Festival Mall to FILRT in exchange for 1.63 billion FILRT shares at an issue price of P3.85 per share under a tax-free property-for-share swap transaction.

“The transaction fulfills FLI’s commitment as the sponsor of FILRT to continually support the growth and expansion of its REIT portfolio through the infusion of high-quality income-generating real estate assets,” FLI said.

It added that, upon the Securities and Exchange Commission’s (SEC) approval of the transaction, FLI and FILRT shall execute a lease agreement for the building.

In a separate disclosure, FILRT said the issue price represents a 30 percent premium over the 30-day volume weighted average price of P2.94 per FILRT share, and falls within the fair value price range provided by FTI Consulting’s Fairness Opinion and LeeChiu Property Consultants, Inc.’s Valuation Report.

The property was appraised by Leechiu Property Consultants, and a fairness opinion was provided by FTI Consulting. A discounted cash flow (DCF) approach was used as the primary method to determine the value of the property.

Under the DCF approach, the future cash flows of the property were discounted using a weighted average cost of capital (WACC) based on a capital asset pricing model. A direct capitalization approach was also used as a secondary reference for the valuation of the property.

For the valuation of the shares, FTI Consulting used various methodologies such as the DCF approach, a dividend discount model, and a comparable public companies’ method, to arrive at a range of values for the fair value of FILRT shares.

The primary common shares to be issued by FILRT to FLI will come from the unissued common shares of FILRT. This will be subject to the approval by FILRT’s shareholders and regulatory approvals.

Upon the SEC’s approval of the transaction, FLI and FILRT shall execute a lease agreement for the property.

“Pursuant to the approval of the transaction, the Board approved the conduct of a special stockholders’ meeting (SSM) to be held on March 4, at 10:00 AM. The record date for the determination of stockholders entitled to notice and right to vote at the SSM is February 10, 2025,” the firm said.

FILRT’s diversification into mall leasing comes after its expansion into the hospitality space with the acquisition of 2.9 hectares of land owned by Filinvest Development Corporation (FDC) in Boracay Island for P1.05 billion in cash.

The land is being leased by Boracay Seascapes, Inc. (BSI), the building owner of Crimson Resort & Spa Boracay and a subsidiary of FDC.

FILRT President and CEO Maricel Brion-Lirio said this is the company’s first asset infusion since its initial public offering and “not only increases the distributable income to our shareholders in the immediate term but also supports our goal of delivering stable dividends and increasing the potential for capital appreciation in the longer term.”

Let me end this post by asking you readers: What is your reaction to this recent development? If you are a resident of Muntinlupa City who happens to be a frequent visitor or shopper of Festival Mall, do you think the incoming, new owners will be able to make improvements on the mall somehow? Do you hope that the original cinemas of Festival Mall will get renovated and reopened with the latest cinema technologies in the future?

You may answer in the comments below. If you prefer to answer privately, you may do so by sending me a direct message online.

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Thank you for reading. If you find this article engaging, please click the like button below, share this article to others and also please consider making a donation to support my publishing. If you are looking for a copywriter to create content for your special project or business, check out my services and my portfolio. Feel free to contact me with a private message. Also please feel free to visit my Facebook page Author Carlo Carrasco and follow me on Twitter at  @HavenorFantasy as well as on Tumblr at https://carlocarrasco.tumblr.com/ and on Instagram at https://www.instagram.com/authorcarlocarrasco

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