Despite upheavals, it was business as usual for Makati hotels

Contrary to general expectation, guests continued to stream into Makati’s posh luxury hotels in May 2004 despite the fiercely contested national elections.

In fact, occupancy in these establishments during election month were a significant improvement over last year’s figures.

All the seven properties tracked in Makati recovered from the declines they suffered in 2003 and posted an average occupancy rate of 71 percent, a 20 percent increase from the 2003 figures for the same month.

Even more phenomenal, Oakwood Premier Ayala Center, one of the best performing properties in the hospitality industry, posted its highest occupancy rate since it opened five years ago. Occupancy registered at 87 percent in May.

Early this year, the outlook for the hotel sector was dim, according to Al Legaspi, Oakwood resident manager. During the first half of the year, nevertheless, performance was happily robust "and contradicted all possible expectations."

From January to May, Oakwood’s monthly average occupancy rate was a high 83 percent. Industry average occupancy rates in Makati for January to May was 75 percent and averaged 58 percent for 2003.

Legaspi attributes the higher than expected unexpected turnout of guests to sustained confidence in the country from certain sectors. On one hand, companies involved in a number of new and emerging industries continued to see the viability of relocating or expanding their operations in the country, he explains.

On the other hand, companies that had established a presence were not overly concerned or worried about the election exercise and continued to do business in the country. Moreover, some of Oakwood Premier’s regular patrons are in businesses which are seemingly unaffected by political intramurals. "In short," says Legaspi, "life went on — and went on even more aggressively than usual."

The bulk of Oakwood’s clients are businessmen and travelers from the US, Australia, Canada, Germany, Singapore and Japan as well as locals. Many of them return again and again.

Oakwood, the Department of Tourism’s Kalakbay awardee as special accommodation facility for the year 2003, enjoys a return rate of close to 100 percent.