TLDR
- Acesite has postponed the Waterfront Manila Hotel & Casino reopening indefinitely
- Redevelopment costs jumped from PHP 1.5 billion to PHP 3.6 billion
- Rising materials, labour, and fuel costs linked to the Middle East conflict drove the increase
- Weak tourism demand and the growth of online gaming are adding pressure
- Construction will not resume until 2028 at the earliest
Acesite (Phils) Hotel Corporation has put the redevelopment of Waterfront Manila Hotel & Casino on hold with no set return date. The company cited sharply higher costs and a weakened gaming and tourism market in Manila.
Acesite is majority-owned by Waterfront Philippines Inc, which holds a 55.7% stake. The company had previously planned a phased reopening starting in the first quarter of 2026, with a full opening expected in early 2027.
The property has been closed since March 2018, when a fire destroyed the original Manila Pavilion Hotel. The fire started in the casino’s slot machine room and was blamed on faulty electrical wiring. Six PAGCOR personnel were killed.
Insurance proceeds of PHP 1.5 billion had been set aside for the rebuild. However, Acesite now estimates the total cost of redevelopment at PHP 3.6 billion — more than double the original figure.
The company said materials and labour costs have risen sharply. It also pointed to fuel costs pushed up by the ongoing US-Israel-Iran conflict as a key factor in the budget blowup.
Tourism Demand Remains Weak
Acesite said Manila’s tourism market has struggled to attract enough foreign visitors in 2026. The company said signs of a recovery in 2027 are also weak, again linking this to the ongoing conflict in the Middle East.
Chinese tourist arrivals, which were once a key source of casino revenue, have not recovered as expected. Acesite noted that despite a no-visa policy for Chinese nationals, inbound tour operators from China have been reluctant to bring visitors since POGO operations ended.
The rise of online gaming has also made conditions harder. Acesite said this trend has become increasingly clear in Manila’s gaming market.
No Restart Before 2028
Given these pressures, Acesite said management is no longer comfortable committing more funds to the project at this stage. The company said it will wait until tourism and gaming data improve enough to confirm the project can cover loan repayments and deliver a return.
Construction will not restart until 2028 at the earliest. In the meantime, the company has budgeted for ongoing maintenance costs to keep the structure in order.
The project had already faced years of delays since the 2018 fire. This latest decision pushes any realistic reopening further into the future.
Acesite said it will keep watching market conditions and will only move forward when room rates, occupancy levels, and gaming revenues show a clear enough improvement to justify the investment.
