Puerto Vallarta, Mexico - The Holiday Inn Puerto Vallarta will close its doors to guests on 16 August, as the property renovates its facilities to reopen under a new name, which is yet to be determined, but will most likely open under the AM Resorts chain's popular 'Sunscape' brand.

In an interview with aznoticias.mx, Humberto Luna, the director of sales at the Holiday Inn said, "This remodeling is due to all the changes that have been taking place in both Puerto Vallarta and Riviera Nayarit... the intention is to change our strategy in an effort to position the hotel in a higher market segment."

The market that the new AM Resorts hotel will target is of middle to high socio-economic status, as the Holiday Inn was intended only for upper middle class tourism. To accomplish this, an investment of 50 million pesos will be spent, which includes an investment of approximately 227,000 pesos in each of the hotel's 220 rooms.

Renovations will also be made to the hotel's main restaurant, La Guacamaya; its public areas, including the pool, grounds and gardens; and other common spaces, like the lobby's reception area and rest rooms, will be upgraded. The refurbished resort will also feature a new nightclub for guests to enjoy.

"The hotel will remain under the same ownership, but now AM Resorts will be in charge of the property. The rebranding is to reposition the hotel in a slightly larger segment, economically speaking. By this I mean the resort's social standing... it is already a five-star hotel, but with the renovations we are looking to attract tourists with more purchasing power," the Holiday Inn sales manager said.

"This redevelopment will also benefit our staff, as we will be welcoming more affluent guests and therefore our workers will receive better tips," he added.

Construction is expected to be completed by December, as the property already has reservations for New Year's Eve.