On May 20, it was announced that Filinvest would be pouring $200 million into their integrated casino resort in Clark City in the Philippines. This money will be invested as part of a provisional license that was granted by the Philippine Amusement and Gaming Corp (PAGCOR) for the Casino and resort operation that is part of Filinvest Development Corporation (FDC).
The $200 million will be used toward an elaborate project. This will include a casino, a five-star hotel, a multi-purpose venue for events, even a mall. This appears to be part of an overall strategy for Filinvest that they have been looking to employ since receiving the provisional license in April 2018.
Working with the PAGCOR, the intention was to build such an elaborate project that it would attract foreign tourists to the Philippines. Positioned close to the airport, FDC president and CEO L. Josephine Yap envisioned that this project would be one that would attract tourists from both inside the Philippines and across Southeast Asia and into Oceana.
At the time the provisional licensure was granted, Yap explained:
“Now that we have secured the provisional license, we foresee further upsurge in tourist arrivals upon completion of the various project components. Its enviable location close to Clark International Airport makes it accessible to both domestic and international tourists.”
Even at the time of the official announcement, the company had already promised to invest the $200 million towards the resort project. The 201-hectare project would be located in the heart of the Clark Special Economic Zone, making it an ideal location to attract tourists.
Now all of that appears to be coming to fruition, as the company is ready to move forward to complete the casino-resort located 50 miles from Manila. That includes releasing the $200 million investment which is expected to be a small portion of what the overall amount committed to the project will be. “We see a lot of potential in this area, as Central Luzon registered 7.2 percent GDP growth in 2018, higher than the national growth rate,” Yap is quoted as saying.
Filinvest has been reaping the rewards of other projects the company is involved in. It was reported a few days ago that its property development arm, Filinvest Land Inc., saw a 24% increase in revenue in the first quarter of this year as compared to that of the same period of last year. Gross revenues rose 15% thanks to a 42% increase in rental revenues.
It has been sources of revenue such as this that have helped to give Filinvest the ability to develop long-term projects without feeling the pinch of having such large amounts of capital unavailable to them. “We are pleased with the first-quarter results, as we continue to experience growth in our recurring income business,” Yap explained, adding that the company had completely leased 118,000 square meters of property during the first quarter.