According to GEDA qualifying certificates incentivize hotel developers with tax rebates and exemptions in an amount equal to 10 percent of the construction costs.
Guam – Two new qualifying certificates were approved at a recent GEDA board meeting to build two new hotels in Tumon.
According to GEDA representative Matt Sgro, one of the hotels will have a luxurious setting with their room rates being double the current average. According to GEDA qualifying certificates incentivize hotel developers with tax rebates and exemptions in an amount equal to 10 percent of the construction costs. The first hotel, owned by TNN Guam, will be located in Tumon next to the Hotel Nikko. The new hotel will have 340 rooms and an average rate of $350 per night. The total investment for the project is $164 million, $700,000. According to GEDA documents, TNNs hotel aligns with Guam’s tourism 2020 goal to bring in more high-end tourists to Guam. The second hotel, which is owned by JMSH 11, LLC, will hold 500 rooms, including 450 boutique rooms and 50 suites, at an average rate of $120 per night. The total investment for this project is $128,165,500 dollars. According to Sgro, both projects will bring in close to 700 jobs.