Why improving tourism’s competitiveness is crucial for PH property

The Philippines’ international arrivals remain disappointingly low compared to our ASEAN peers. The country has yet to breach pre-COVID figures, while Malaysia and Vietnam have more than surpassed their respective pre-pandemic international arrivals. In our view, boosting the country’s tourism sector is important as it is a property segment that can help generate more employment opportunities in the countryside.

More tourists mean more hotel investments across the Philippines. The private sector cannot do it alone, and the government needs to fulfill its role in plugging gaps and enticing more long-haul and high-spending foreign tourists to visit the Philippines.

 In 2026, Metro Manila will record its biggest hotel completion since 2018. From 2026 to 2029, about half of new hotel completions across the capital region will have foreign brands, including Mandarin, Dusit, Canopy, and Moxy. Philippine developers remain aggressive in partnering with foreign hospitality brands.

Domestic market stokes hotel demand

Colliers Philippines believes that domestic travelers continue to prop up hotel occupancies and daily rates, especially in key hubs including Metro Manila, Cebu, Cagayan de Oro, Davao, and Clark in Pampanga. The staging of briefings complementing the ASEAN Summit 2026 in Cebu, Bohol, and Manila should boost the Philippine government’s efforts to lift the country’s stature as a MICE destination in the region.

In our view, the government should focus on expanding and diversifying the Philippines’ leisure demand base, with some countries from Europe and the Middle East being the ‘low-hanging fruits’. Overall, we believe that developers should further explore the feasibility of offering conference halls and meeting rooms, as well as consider partnering with foreign hospitality brands to help raise Philippine tourism’s competitiveness.

 The public sector, on the other hand, should continue improving the country’s infrastructure network–from roads to airports–to ensure ease of travel and to accommodate more local and international travelers. An intensive public-private sector cooperation is crucial in improving the country’s travel and tourism competitiveness. 

Maximize tourism department’s latest initiatives

 In our view, hotel operators should be mindful of the government’s latest programs aimed at attracting long-staying and high-spending foreign tourists. Hotel operators should be on the lookout for tourism policies aimed at propping up hotel occupancies and expenditures within and outside Metro Manila. The Philippine government, for instance, has introduced visa-free entry for Indian and Chinese nationals.

In addition, new international flights have been launched from key and emerging markets such as Russia, Palau, Canada, and India. In our view, hotel players should also target long-haul and high-spending tourists, including those from a number of European and Middle Eastern markets.

Complement hotels with MICE facilities 

Colliers sees several in-person events driving demand for meetings, incentives, conferences, and exhibitions (MICE) facilities. We believe that in-person events such as pharmaceutical product launches, property exhibits, bridal fairs, technology-related trade fairs, and travel & tourism expositions propel take-up for MICE and accommodation facilities.

Colliers believes that this year will be a turning point for the Philippine government’s efforts to promote the country as a regional MICE hub. The Philippines is hosting the 48th and 49th ASEAN Summits. As part of the conference, Cebu and Bohol hosted this year’s ASEAN Tourism Forum, ASEAN Travel Exchange, and other key meetings, with the ASEAN Leaders’ Summit to be held in Cebu. Manila is also scheduled to host related events in November.

Source: Philstar

Manila hotel sector may expand by nearly 2,900 keys this year — Colliers

Metro Manila set to add 2,890 hotel keys in 2026, with most of the new rooms concentrated in Makati and the Bay Area, according to Colliers Philippines.

In its Second-Half (H2 2025) Metro Manila Hotel Report, Colliers projected that over two-thirds of the new supply this year will come from hotels in the Makati central business district and the Bay Area.

“The Philippines recorded dismal aggregate international arrivals in 2025. The country has yet to recover pre-covid visitors. Despite this, domestic travelers continue to drive take-up for hotels and MICE (meetings, incentives, conferences, and events) facilities across the country,” Joey Roi H. Bondoc, director and head of research at Colliers Philippines, said in the report.

From 2026 to 2029, Colliers projects 1,800 rooms to be delivered annually. About 52% of the new supply in Metro Manila during this period will come from foreign hospitality brands such as Mandarin, Dusit, Canopy, and Moxy.

Colliers expects hotel occupancy this year to reach around 60%, amid the addition of new rooms and limited international arrivals.

The consultancy noted that the Philippines’ tourist arrivals remain “disappointingly low,” as neighboring countries such as Vietnam and Malaysia have exceeded their pre-pandemic visitor levels.

Tourist arrivals in the Philippines reached 6.48 million in 2025, according to the Bureau of Immigration, below the pre-pandemic level of 8.26 million in 2019.

The country has faced challenges in attracting international visitors compared with regional peers, amid congested airports, limited inter-island connectivity, and underdeveloped transport infrastructure.

Domestic travelers continue to influence hotel occupancy and daily rates, particularly in Metro Manila, Cebu, Cagayan de Oro, Davao, and Clark, Pampanga.

The hosting of the ASEAN Summit this year is expected to support the country as a MICE destination, Colliers added.

In-person events such as pharmaceutical product launches, property exhibits, bridal fairs, technology trade shows, and travel and tourism expos can further support MICE and accommodation demand, the report said.

“In our view, the government should focus on expanding and diversifying the Philippines’ leisure demand base, with some countries from Europe and the Middle East being the ‘low-hanging fruits,’” Colliers said.

Hotel operators are advised to target long-haul and high-spending tourists, noting that new international flights have been introduced from countries such as Russia, Palau, Canada, and India.

Developers are encouraged to consider an “asset-light strategy” for hotel expansion, Colliers said.

“This model allows foreign brands to enter into management or franchise contracts with local developers, reducing capital expenditure while providing stable, predictable returns for property owners, creating a mutually beneficial arrangement for both parties,” it said.

Hotel joint ventures that have adopted the “asset-light” model include partnerships between The Ascott Limited and DoubleDragon Corp., and between Ayala Land Hospitality with Marriott International, Inc. and Hilton Worldwide Holdings, Inc.

Developers should also take advantage of new policies that could support tourism growth, including the issuance of digital nomad visas, the Cruise Visa Waiver Program, and visa-free entry for Indian and Chinese tourists, Colliers said.

Colliers Manila H2 2025 Hotel_v1.pdf

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Source: Business World

Five Philippines luxury hotels bag Michelin Guide awards

Five luxury properties in the Philippines were honored by the website of the prestigious Michelin Guide.

The France-based travel guide awarded the “Michelin Key” distinction to Amanpulo in Palawan, Dusit Thani Mactan Cebu Resort, Fairmont Makati, Nay Palad Hideaway Siargao and Raffles Makati, according to information from its website.

They all earned “One Michelin Key,” which “set the standard for excellence in Filipino hospitality.” Based on the Michelin Guide, “One Key” denotes “a very special stay,” where “service always goes the extra mile and the hotel provides much more than others in its price range.”

It added the “One Michelin Key” was similar to the “Michelin Stars” awarded to restaurants, wherein a recommended hotel or resort could be given as much as “Three Michelin Keys.”

“As the Michelin Guide broadens its recognition to include outstanding stays, the Philippines debuts on the Michelin Key stage with properties that reflect the nation’s unparalleled warmth and natural beauty,” wrote the guide on its website.

It added, “Each hotel, from city landmark to island escape, offers an experience as memorable as the country itself.”

The five luxury properties awarded each with a “One Michelin Key” were among the 20 hotels and resorts recommended by the Michelin Guide, which also includes Admiral Hotel Manila – MGallery, Hotel Okura Manila at Newport World Resorts, Manila Marriott Hotel at Newport World Resorts, Shangri-La The Fort Manila, Solaire Resort

Entertainment City, The Peninsula Manila, Crimson Resort & Spa Mactan, Dusit Thani Mactan Cebu Resort, NUSTAR Hotel Cebu, City of Dreams – Nobu Hotel Manila, Grand Hyatt Manila, The Westin Manila, Piece Lio El Nido, The Funny Lion El Nido, Sheraton Cebu Mactan Resort and The Lind Boracay.

The Michelin Guide also announced the launch of its expansion to Manila and Cebu on Oct. 30, 2025, wherein its inspectors would “seek out the most exceptional dining destinations” in Manila and neighboring Pampanga, Tagaytay and Cavite, as well as Cebu.

Source: Philstar