HOTEL 101 Global Pte. Ltd. (Hotel101), a subsidiary of DoubleDragon Corp. (DD), expects to sell all units in Japan and Spain ahead of schedule as it prepares for a planned US listing by the fourth quarter (Q4).
“Hotel101 Global expects to complete and fully sell out its units in Madrid, Spain and Niseko Hokkaido, Japan ahead of schedule,” DD said in a statement to the stock exchange on Thursday.
“Hotel101 Global is currently in the process towards its US listing expected in Q4 2024,” it added.
The 680-room Hotel101-Madrid, located on a 6,593 square-meter property in Valdebebas, Madrid, is scheduled for completion by end-2025.
The 482-room Hotel101-Niseko in Hokkaido, Japan, is set for completion by 2026.
Hotel101 will list on the NASDAQ via a merger with JVSPAC Acquisition Corp.
The combined entity will trade under the ticker symbol “HBNB,” making Hotel101 the first Philippine company to list in the US.
Hotel101 expects to generate P71.2 billion from the Hotel101-Niseko project and P8.8 billion from the Hotel101-Madrid property.
Hotel101 also said that the first batch of golden visas has been issued to the unit owners of its Madrid hotel project, marking a significant milestone for the development.
“The golden visa applications are for evaluation and approval of the proper authorities of the Government of Spain, at its discretion, but the purchase of Hotel101 units may be used by the foreign buyer to comply with the 500,000-euro Spanish real estate investment requirement,” DD said.
Officially known as the Spain investor visa, the golden visa is a residence permit granted to non-European citizens with a substantial investment in the country. The applicants need to purchase three Hotel101-Madrid units each to comply with the investment requirements.
“We have seen incredible traction in our Hotel101 projects globally. Hotel101-Madrid has done exceptionally well not only because it qualifies as an investment under the golden visa regime but because of the opportunity it provides retail real estate investors globally to participate in the booming hotel industry specifically in Madrid, Spain,” Hotel101 Global Chief Executive Officer Hannah Yulo-Luccini said.
“In fact, we have seen an increasing number of local Spanish investors buying Hotel101 units in Madrid purely because they believe in the potential revenue the project will generate once completed,” she added.
Meanwhile, DD Chairman Edgar “Injap” J. Sia II said the hotel project is expected to boost Spain’s economic activity.
“It will be optional for the Hotel101 unit buyers if they wanted to apply for a golden visa with their purchase of the Hotel101 units. It is worth noting that since Hotel101 is building a fresh inventory of units, it will not reduce the existing housing inventory in Spain, but will add economic activity in Spain through the purchase of land, generation of jobs from the construction phase up to the operation of the project, plus the long-term continuous recurring taxes that this project will bring in,” Mr. Sia said.
On Thursday, DD shares fell by 1.48% or 14 centavos to P9.35 per share.— Revin Mikhael D. Ochave