RLC eyes more franchising deals for Go Hotels

Go Hotels Roxaco-Vanguard Hotel Corp

THE PARTNERSHIP of Roxaco Land Corp. and Singapore’s Vanguard Hotels Pte. Ltd. has opened its second budget hotel under a homegrown brand of Robinsons Land Corp., which looks at signing more franchising agreements to further expand its presence.

Robinsons Land owns and operates the country’s first value hotel with the launch of Gohotels.ph.
Roxaco-Vanguard Hotel Corp. opened the second of five Go Hotels it agreed to operate in association with Robinsons Land on Monday.

The hotel lies along North EDSA in Quezon City, a location which Vanguard Hotels Group Chief Executive Officer Bruce Musick described as “gateway to the northwest of the country” and strategic for being surrounded by government offices and businesses.

The newly opened branch offers 167 rooms catering to business and leisure travelers, including a number of units designed for persons with disabilities.

The joint venture first opened a Go Hotels branch along the Manila Airport Road in Parañaque City, with plans to open three others in Cubao in Quezon City, Ermita in Manila and Timog in Quezon City within the second quarter.

“The plan is for us to hopefully by the end of May have all five Go Hotels up and running,” Roxaco Land President and Chief Executive Officer Santiago R. Elizalde said during the ribbon-cutting ceremony for Go Hotels North EDSA.

“This is really in line with our commitment to get five properties up and running as soon as possible before we proceed with the next batch,” Mr. Elizalde added.

In an earlier interview, Mr. Elizalde revealed the partnership was looking at developing 25 properties in association with Robinsons Land.

“We wanted to stop at five (branches) first and then really see what the results are. And if the assessment is positive, then we move forward with another five. So we want to do it in blocks of five properties at a time. We already had an agreement with the Robinsons Group,” Mr. Elizalde had said.

Go Hotels North EDSA represents the 12th branch of the homegrown chain. Robinsons Land, which owns 10 of the operating properties, looks to have a total of 16 hotels with 2,500 rooms under the brand toward the yearend.

“I believe that close to 1,000 of that will be courtesy of Roxaco-Vanguard. On top of that, of course, we have Summit Hotels and some of our international hotel chains within the group,” Robinsons Land President and Chief Executive Officer Frederick D. Go said.

Robinsons Land will open a Go Hotels branch in Iligan City within the year, in addition to the three more properties being developed by Roxaco-Vanguard.

The listed property developer looks to further expand its hotel portfolio to 3,500 rooms by 2018. At present, it operates two Summit Hotels in Cebu, one in Tagaytay and another in Quezon City along with Crowne Plaza and Holiday Inn within the Ortigas Business District alongside the 12 Go Hotels.

“There are lots of people talking to us now, for franchises in a lot of the provinces all over the country. So we’re assessing all of that and we’ll probably sign more franchisees soon,” Mr. Go said.

Robinsons Land can have at least six properties under franchise agreements by 2018, as it discusses another partnership in Davao.

“Our main selling point of course is we have the system, we have the booking engine, we have the know-how, the experience, the management so it makes a lot of sense for people to franchise,” Mr. Go noted.

Source: http://www.bworldonline.com/content.php?section=Corporate&title=rlc-eyes-more-franchising-deals-for-go-hotels&id=142480