Clark Freeport Zone Hotels | Why the Abundance?
Hotels have been popping up within and around the Clark Freeport Zone in the Philippines and the reason for this is purely economic.
The Clark Freeport Zone is strategically located at the center of the international market of the Asia-Pacific region. And as a freeport zone, foreign nationals that invest in Clark receive generous fiscal and non-fiscal incentives.
This meteoric growth in foreign investment has resulted in the construction of modern infrastructure and amenities, as well as the development of a wide-array of professional support services.
What is a Freeport Zone?
In a freeport zone, foreign investors are provided with the following perks:
- 100% ownership and control of their business
- 100% repatriation of profits
- 5% gross income tax rate
- Exemption from local tax and national tax
- No import taxes for business supplies
- No export taxes for finished goods
- Permanent resident status
- Expedited Visas
What are the restrictions of a Freeport Zone?
Local residents cannot receive the perks listed above. And while foreign investors do receive those advantages, Freeport Zones don’t allow foreign investors to own the land they develop. Instead, leases of up to 50 years are made available to them.
What Sets Apart Clark Freeport Zone?
Among the 12 Freeport Zones in the Philippines, Clark is the only one to earn its title as Asia’s next aerotropolis. Essentially, an aerotropolis is a metropolis that’s developed around an airport.
The Clark Freeport Zone has its roots as an American Air Base. After the military base was converted into the Clark International Airport, traffic to the area increased immensely. In fact, the airport is expected to have a passenger capacity of 8 million annually once the construction of its new terminal building is completed.
With it’s Freeport Zone Status and the foreign traffic brought in by the Clark International Airport, the architecture in Clark has an international quality to it. The amenities that have risen within it are also infused with the culture of various countries, making it an ideal destination for both investors and tourists alike.