Acesite (Phils) Hotel Corporation has updated its reconstruction plans for the Waterfront Manila Hotel and Casino, announcing that the estimated cost to complete the long-delayed restoration project has been revised to approximately PHP3.6bn.
In a disclosure filed with the Philippine Stock Exchange, the company said the revised budget follows a comprehensive review of the project, which covers the restoration of both the hotel and casino facilities. Although recovery efforts began after the 2018 fire, reconstruction was later suspended during the pandemic, with only limited work resuming since then.
According to the company, several factors contributed to the higher project cost. These include rising labour and construction material prices driven by inflation, additional structural reinforcement work to strengthen the building's foundation and a redesign of public areas, kitchens and storage facilities to improve operational efficiency and maximise space utilisation once the property reopens.
To support the revised development plan while maintaining financial flexibility, Acesite outlined several measures aimed at preserving liquidity ahead of the planned restart of major construction activities in 2028.
The company said it will defer construction-related capital expenditures until 2028 to conserve cash reserves. It also plans to utilise appropriated retained earnings that have been specifically set aside for the reconstruction project, while intercompany borrowings will continue to fund essential operating expenses during the interim period.
In addition, Acesite intends to implement a targeted bank financing strategy to secure funding for the reconstruction once work resumes.
The company emphasised that the revised financial plan is intended to optimise cash flow while ensuring adequate resources are available to complete the redevelopment. It added that the reconstruction remains a key priority and reaffirmed its commitment to delivering the project despite the extended timeline.
Acesite said it will continue to provide updates to shareholders and the market as further material developments regarding the reconstruction project arise.
The Waterfront Manila Hotel and Casino, formerly known as Manila Pavilion, was severely damaged by a fire in 2018
