In this week’s roundup of news from the Asia/Pacific region: Hilton’s Ian Carter on global development; Sunac China buys 76 hotels; and more.
Hotel News Now each week features a news roundup from a different region of the world. Today’s review covers the Asia/Pacific region.
Video: Ian Carter on Hilton’s global growth blueprint
Ian Carter, president of global development, architecture, design and construction at Hilton, sat with HNN’s Bryan Wroten at the NYU International Hospitality Industry Investment Conference to speak about his company’s plans for global growth.
When expanding its presence in China, Hilton introduced three Hiltons and a Conrad, he said, which allowed it to move in with DoubleTree by Hilton and Hilton Garden Inn properties after the brands became more recognizable there.
“We applied that same mentality to other target markets that we focused on, so it’s not a scattergun approach,” Carter said. “It’s what we call this phased approach on target markets. So we’ll see much the same happen in 2017.”
Wanda Group to sell 76 hotels to Sunac China
Sunac China will acquire 76 hotels and other properties from Dalian Wanda Commercial Properties for 63.17 billion Chinese yuan ($9.3 billion), according to a news release. The 76 hotels themselves will cost 33.6 billion yuan ($4.9 billion).
As part of the deal, the 13 included Wanda Cultural Tourism City projects must remain unchanged in their branding, planning, project development and operations management.
Mantra consolidates brands
Australia’s Mantra Group has consolidated its 128 properties in Australia, New Zealand, Bali and Hawaii under the flag Mantra Hotels, a news release states. The brands falling under the consolidation were Peppers, BreakFree and Mantra.
“Our new Mantra Hotels masterbrand reflects our intent to encourage guests to live life outside the square and reaffirms our commitment to facilitating genuine and trusted experiences in a meaningful way,” said Mantra Group COO Tomas Johnsson in the news release. “We do this by providing spaces with options, where guests can tailor things to their liking within four walls … because only then can they reconnect with what’s important to them and discover their own kind of wonderful beyond those walls.”
STR: Asia/Pacific hotel performance for May 2017
Hotels in the Asia/Pacific region reported positive results during May 2017, according to data from STR, HNN’s parent company. Occupancy in the region grew 2.7% year over year to 68.9% and average daily rate increased 2.4% to $96.78, leading to growth in revenue per available room of 5.2% to $66.73.
India saw its highest absolute occupancy level for a May month since 2007, growing 5.4% to 61.4%. ADR grew 3.5% to 5,406.77 Indian rupees ($83.79), and RevPAR jumped 9.1% to 3,319.71 rupees ($51.45). New Zealand saw occupancy grow 4.7% to 76.5% and ADR increase 12.1% to 169.87 New Zealand dollars ($122.80), resulting in a 17.4% growth in RevPAR to NZD130.01 ($93.98).
STR: Asia/Pacific hotel pipeline May 2017
The Asia/Pacific region reported 609,417 rooms in 2,760 hotel projects under contract in May 2017, according to STR data, representing a 3.8% year-over-year increase. There are 271,915 rooms in 1,189 projects in construction for the month, a 4.3% year-over-year increase.
China reported 153,243 rooms in 592 projects under construction. Indonesia had 22,793 rooms in 123 projects. India had 20,750 rooms in 131 projects. Vietnam had 10,273 rooms in 38 projects.
Deals and developments
- Singapore’s CDL Hospitality Trust acquires the Pullman Hotel in Munich, marking its entrance into continental Europe.
- Mandarin Oriental Hotel Group will open its first hotel in Australia in 2023 as part of a 50-story mixed use tower in Melbourne.
- Mövenpick Hotels & Resorts will open its first hotel in Danang, Vietnam, in 2019 with the Mövenpick Hotel & Residences Danang Vietnam.
- Thailand’s U City Public Company acquired 24 European hotels by purchasing Vienna International Hotel Management AG and its portfolio of upscale leisure properties and business hotels for 12.3 billion Thai baht ($360.6 million).
- Royal Orchard Hotels announced the opening of the 74-room Regenta LP Vilas in Dehradun, Uttarakhand, India.
- Indonesia’s Archipelago International will open 12 new hotels in Indonesia in 2017.
- Shangri-La Hotels and Resorts will be the hotel operator for Malaysia’s S P Setia Berhad Group’s planned luxury development in Melbourne’s CBD.
- AccorHotels announced the opening of the rebranded 146-room Grand Mercure Vadodara Surya Palace in Vadodara, Gujarat, India.
Compiled by Bryan Wroten.