Investing in Philippine Tourism
As economies grow and incomes rise, particularly in the Asia-Pacific region, demand for travel, leisure, and the kind of travel experiences the Philippines can offer, will continue to grow
The Investment Opportunity
The Philippines has become one of the world’s fastest growing tourist destinations. Areas such as Palawan, Boracay and Siargao have been named the world’s most beautiful islands, beaches, and surf spots by publications like Travel and Leisure and Condé Nast Traveler.
Improvements in infrastructure, the emergence of low-cost carriers, and a rapidly growing network of international and domestic flights have enabled international arrivals to increase rapidly in recent years. A robust local economy has also underpinned strong domestic tourism demand. Government policies are supportive of this growth, and are laying the foundations for it to be environmentally sustainable in the long-term.
Lio, Palawan
We believe that we are at the beginning of a long growth cycle. Despite their recent growth, Philippine tourist arrivals and tourism spending remain below those of Thailand, Malaysia, Indonesia and Vietnam. The range of hospitality and leisure options in most Philippine destinations are narrower than those in more established destinations such as Phuket, Bali and Langkawi. These disparities highlight the amount of opportunity there still is in the Philippine tourism landscape, particularly for early movers.
Catch the Beginning of a Long Growth Cycle
Land-Use Changes
Prime tourist destinations such as Palawan and Siargao were only recently agricultural or fishing communities. International investment has not yet meaningfully extended its presence beyond major cities - truly world class developments are still relatively few and far between.
Policy Support
Promoting the growth and sustainability of local tourism is a main government priority. In 2020, the Philippine Department of Tourism was named Asia’s leading tourism board during the 27th annual World Travel Awards.
Barriers to Entry
As in other nascent land markets, local knowledge and relationships are key to finding prime properties and fair market values. Having the right on-the-ground partner provides players with a key advantage over new entrants.
Let’s Work Together
Properties we manage or own are available for lease, joint investment, and on a case to case basis, sale. We will also consider different joint venture structures or other commercial or contractual arrangements involving the properties we manage or own.
Contact us to start discussing how we can work together.