The Reason: 20 story SM hotel "why is it still closed?"

[koto]

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"why is it still closed?"

Vision and Timing
Although Sy had his share of high-profile mergers and acquisitions, he remains a core conservative with fine-tuned instincts, unruffled by external influences or ego. Sio narrated that years ago when SM finished the construction of its 20-story 400-room hotel in Cebu, many within the company was eager to launch the group’s first hotel venture in the country.

However, pride has to take a back seat. Sy calmed down the enthusiasm simply because it did not make good business sense. He refused to subsidize the hotel operations. Sy explained that tourism was down and hotel occupancy was low. “If the hotel opened, we will have fixed operating cost even when there is not enough income to sustain it.” Looking further ahead, Sy projected that if after three years the economy and tourism picked up, the hotel facilities would by then need refurbishing — an additional expense. “Even when the organization had enough financial capacity to carry a minor losing unit, Sy is not about to waste resources on this,” Sio noted. A strategic step backward is more prudent than forging head on.

The balance of vision and timing is the reason why Sy and his group had won accolades from market players and peers. Sy was named Management Man of the Year in 1999 by the Management Association of the Philippines. Since its listing in 1994, SM Prime had received numerous citations for its management excellence from business organizations and international business publications.

source: http://www.philippinebusiness.com.ph...coverstory.htm

so probably it will be opened very soon since cebu right now is booming in philippine market, Sy only needs a good timing para di malu gi :mrgreen:

[aditti]

hmm..i thought another reason why they wont be opening the hotel is that compromised ang structural integrity sa building? there are supposedly big cracks and etc sa walls and columns that makes the building unsafe.

[budmendz]

Akong nadunggan kay di kuno makatulog c Henry kay gikalag sa mga laborers nga nahulog ug nangamatay because of unsafe practices while pag construct ana nga building. Wala kuno toy klaro ug nakadawat ba gyud benefits mga laborers ato. Hasta kuno ang taga Labor ni-apil ug imbestiga atong hitabo-a but nothing came out of it.

[godCode]

yeah.. and nagka anam man kuno na ug kalubong ang hotel, mga 1 inch a year abmot lang kung tinoon... pero mao na ingon sa akong teacher na archi katong una...

[iloveyou4ever]

I thought murag dili maayo ang pagka construct sa hotel mao nga stop operation ni sila. Kuyaw man jud ni nga hotel kay murag gubaon man tan awon. Dili jud ni highly recommended nga hotel kay basin dili pud ni safe. Look at the outside part sa hotel naa man mga cracks.

[athlon XP-M]

[size=10pt]SM in talks with firms to run Cebu City hotel[/size]

MANILA - SM Prime Holdings Inc. (SMPHI) is in “serious” negotiations with two foreign companies in the international hotel business for the management and operation of the hotel building next to SM City Cebu at the Cebu City north reclamation area.

SMPHI president Hans Sy told news reporters yesterday that he cannot say “anything concrete” yet about the negotiations.

“The negotiation level has gone up...to serious stage,” Sy said, declining to elaborate.

He said, though, that SMPHI is looking for a partner that will “put in equity” in the hotel, which remains closed.

The hotel was supposed to be managed by Sheraton but the international hotel firm pulled out of its partnership with SM Investments Corp. The building reportedly needs four to six months to finish.

Equity

Sy said the company deems it better that the firm that will manage and operate the hotel will put in equity.

As for future projects in Cebu, Sy said SMPHI focus on developing a “supercen-ter”—a complex of hyper-market (large supermarket) and small retail shops—which would have been implemented on the Cebu Province-owned lot, had the company won the bid for the property along Archbishop Reyes Ave.

Hans, the son of Henry Sr., said the company is looking for a site of its future projects in Cebu. Although he did not reveal the ideal location of its future projects, he said the company is looking for a property with an area of at least three hectares.

http://www.sunstar.com.ph/static/ceb...ity.hotel.html

[digitalsuperman]

i think its being used for something else....something fishy...LOL..

[north_star]

hmm..i thought another reason why they wont be opening the hotel is that compromised ang structural integrity sa building? there are supposedly big cracks and etc sa walls and columns that makes the building unsafe.

mao sad na akong nadunggan.

i think its being used for something else....something fishy...LOL..

hmm...interesting. basin kaha noh...hehehe...

[weedmeister2]

i think its being used for something else....something fishy...LOL..

i hear its a housing project for homeless ghosts that roam the city

[M@rv|n]

unsa man jud tinuod status anang buildinga? nag sagol man ang politics, chismis, ug marketing ani