In this week’s roundup of news from the Asia/Pacific region: Indian Hotels’ growth; monthly performance; preliminary data; 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.
Chhatwal on Indian Hotels’ growth, brands, future
Puneet Chhatwal has served as the president and CEO of Indian Hotels Company for one year now after leaving the role of CEO at Deutsche Hospitality (formerly Steigenberger Hotels AG), writes HNN’s Terence Baker, and in that time he has announced a five-year business strategy and signed its first asset in Saudi Arabia. The company will also open its first Vivanta-branded hotel in the United Kingdom as well as two Taj-branded hotels in Dubai.
“The refreshed ‘brandscape’ will enable IHCL to expand its portfolio across different customer segments with various brands to address different price points,” Chhatwall said. “The brand portfolio will comprise the iconic Taj Hotels, which will continue to operate in the luxury segment in key gateway cities. Vivanta will be the growth driver for tier-two and (tier)-three cities and operate as upscale hotels for the sophisticated traveler, (and) Ginger will have a significant presence in the IHCL portfolio and will address the company’s requirement to be present in the fastest growing midscale and economy segment.
“We have launched a new brand called SeleQtions, a ‘named’ collection of hotels that are completely unique; each hotel will have a distinctive name. This will address the requirements and aspirations of our new, younger customer. This new ‘brandscape’ will allow IHCL to offer something for everyone, whilst protecting their iconic Taj brand.”
STR: Asia/Pacific hotel performance for August 2018
Data from STR, parent company of HNN, shows hotels in the Asia Pacific region reported positive year-over-year results for the month of August 2018. Occupancy grew by 1% to 75.7% and average daily rate grew by 2.4% to $109.06, resulting in revenue-per-available-room growth of 3.4% to $82.53.
Jakarta reported occupancy growth of 14.7% to 71.5%, which paired with ADR growth of 20.9% to 1,221,707.16 Indonesian rupiah ($122.17), led to RevPAR growth of 38.7% to 874,006.42 rupiah (87.40).
Occupancy in Tokyo grew by 1.9% to 86.5% and ADR grew by 5.2% to 18,186.92 Japanese yen ($160.04), combining for RevPAR growth of 7.2% to 15,734.13 yen ($138.46).
STR: Preliminary August data for Melbourne hotels
Preliminary year-over-year data for hotels in Melbourne August 2018 from STR shows lower occupancy levels paired with higher rates. Supply grew by 2.5% while demand grew by only 1.6%, leading to occupancy dipping by 0.9% to 84%. ADR, however, grew by 2.2% to 179.89 Australian dollars ($129.32), which pushed RevPAR to grow by 1.3% to AU$151.18 ($108.68).
While August is one of the coldest months of the year, Melbourne’s absolute occupancy would be the highest for any month in the city since March 2018. Its absolute ADR level would be the highest for an August since 2014 and its RevPAR level would be highest for any August since 2013.
Global hotel industry grapples with massive storms
Hotels in the southeastern United States and Southeast Asia faced strong storms in the middle of September, writes the HNN editorial staff. While U.S. hoteliers dealt with Hurricane Florence, hoteliers in the Philippines, Hong Kong and mainland China had Typhoon Mangkhut.
Deals and developments
- Australia’s Abacus Property Group sold the 361-room Novotel Twin Water Resort to Melbourne-based asset trader Shakespeare Property Group for AU$88.5 million ($55.10 million).
- Singapore-based M&L Hospitality opened its 328-room The Lume in Manchester, United Kingdom.
- Switzerland’s Kempinski Hotels opened its first hotel in Singapore, the 157-room Capitol Kempinski Hotel Singapore.
- Australia’s iProsperity Group sold the Sydney Park Regis to Sydney-based Yeh’s Group for AU$54.2 million ($33.75 million).
- Singapore-based Centurion Corporation acquired the 104-roon Benikea Hotel in Seoul for 16.5 million Singapore dollars ($10.41 million).
- InterContinental Hotels Group debuted its InterContinental brand in Hefei, China, with the 405-room InterContinental Hefei.
Compiled by Bryan Wroten.