In this week’s roundup of news from the Asia/Pacific region: Hoshino Hotels expanding beyond Japan; a new hospitality platform in Vietnam; October 2016 performance 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.
Hoshino focuses on Japanese tradition, expanding reach
Japan’s Hoshino Resorts is moving forward with its global expansion plans with the construction of a Hoshinoya property in Bali, Indonesia, set to open in early 2017, according to HNN’s Terence Baker. The company opened its first international property, the Hotel Kia Ora Resort & Spa in French Polynesia, last year through a management agreement.
The company currently has 33 properties in Japan, but executives said there are plans to open more properties domestically and internationally. Its three brands are Hoshinoya, a contemporary resort brand; Kai, a collection of traditional ryokan inns with hot springs; and Risonare, a premier resort with family entertainment and leisure.
Warburg Pincus, VinaCapital debut $300m hotel platform
Global private equity firm Warburg Pincus has partnered with VinaCapital, a private equity firm in Vietnam, to create a “fully integrated hospitality platform” focusing on hotel development, acquisitions and operations in Southeast Asia, according to a news release.
The joint venture will initially be seeded with about $300 million of capital commitments from the two partners as well as hospitality assets, including a 100%-stake of Vietnamese hotel management company Serenity Holdings. The goal is to grow its asset base through “acquiring, repositioning and enhancing well-located city hotels in key tier-1 cities and developing luxury resorts in leading resort destinations across Southeast Asia.”
STR: Asia/Pacific hotel performance for October 2016
Hotels in the Asia/Pacific region reported nearly flat year-over-year performance for October 2016 in the three key performance metrics when reporting in U.S. dollar constant currency, according to data from STR, HNN’s parent company.
The region saw a 0.5% increase in occupancy to 71.3%, but average daily rate dropped 0.4% to $103.77, resulting in revenue per available room increasing only 0.1% to $74.02.
India experienced its first month of occupancy decline since November 2015, dropping -4.6% to 59.4%. ADR increased 1.4% to 5,865.97 Indian rupees ($85.47), but RevPAR still fell 3.2% to 3,484.48 rupees ($50.77).
New Zealand is on track for a second year of double-digit RevPAR growth after occupancy grew 3% to 80% and ADR increased 12.9% to 175.92 New Zealand dollars ($125.31). As a result, RevPAR grew 16.3% to NZ$140.79 ($100.29).
Deals and developments
- Rosewood Hotels & Resorts announced it will open the Rosewood Hong Kong, a 398-room property taking up 27 stories of the former New World Centre building on Victoria Harbor, in 2018.
- AccorHotels announced it opened the 101-room Hotel Formule1 Nashik and the 132-room Hotel Formule1 Chennai OMR in India.
- New Century Hotels & Resorts signed two hotel developments, the Daide New Century Hotel Tongxiang and the Zhili new Century Hotel Baoding, in China.
- Deutsche Hospitality opened the 281-room IntercityHotel Qingdao, the first of the brand in China.
- Fern Hotels opened the 89-room Fern Goregaon in Mumbai, Maharashtra.
Compiled by Bryan Wroten.