Waterfront Pavilion rehab pushed back to 2028 as costs climb and gaming tourism demand weakens

Acesite suspends construction as project costs rise from ₱1.5B to ₱3.6B, citing slower recovery in gaming tourism and investor hesitation.

Reconstruction of the fire-damaged Waterfront Pavilion in Manila has been pushed back to 2028 amid inflated costs and lower demand projections.

Acesite (Phils.) Hotel Corp. announced that it has suspended construction of the hotel, deferring all cash outflows until 2028.

The 400-room Waterfront Pavilion Hotel and Casino in Ermita, Manila was destroyed in a fire in 2018, killing five people and injuring 15.

The developer disclosed to the Philippine Stock Exchange that only minimal work had been done on the hotel’s reconstruction.

Work was delayed significantly by the COVID-19 pandemic. The ₱1.5 billion in insurance proceeds initially earmarked for reconstruction has since increased to ₱3.6 billion due to rising costs.

The company also said that demand for gaming tourism has not yet recovered to pre-pandemic levels, making it difficult to attract investors for the project.

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