Crown Wins Approval for Sydney Casino Aimed at Asian Gamblers

Australian mogul, James Packer has finally won the approval for a six-star luxury hotel and casino complex on Sydney harbor, aimed at Asian high-rollers. The billionaire's controversial project had been revised several times since it won support from the state government in 2013. Work on the project is expected to begin shortly and is slated for completion by early 2021. The New South Wales state government legislated to site the Crown Sydney Hotel Resort on foreshore land, previously reserved for a public park. To be located in Barangaroo, on the northwestern edge of Sydney's central business district, the casino was awarded a 99-year gambling licence. The NSW Planning Assessment Commission however ordered a number of amendments to this A$1.5billion (US$1.1 billion) project, which include increasing public areas around this 71-storey building and widening the western harborside promenade at Bangaroo South, in order to ensure that the proposed development comprises adequate open public spaces while also achieving the government's goal to support a high-end tourist and gaming facility on the site. The establishment of this casino is expected to attract Asian high net worth travelers to Sydney and create more than 1000 jobs.

MBD Group and Steinberger Hotel Group Form Joint Venture in India

Indian education and hospitality firm MBD Group and German hospitality chain Steinberger Hotels have entered into a joint venture (JV) under the brand name ‘MBD Steinberger’ to manage and franchise hotels in India. The JV is aiming to open 20 luxury hotels over the next 15 years, with an expected annual revenue of approximately INR2,000 crore once its hotels are open and functional. The flagship hotel will be the Zephyr Bengaluru in Whitefield, Bengaluru, which will feature 184 rooms and 118 serviced apartments. MBD Group will hold 51% stake while Steinberger Hotels will hold 49% stake in the JV company. MBD Group will look after functions such as business development, management and franchising of hotels, and marketing, along with providing pre- and post-opening assistance. Steinberger Hotel Group will provide international sales and marketing support, in addition to training and brand standards to be deployed at the properties.

Jeju Sun Hotel & Casino Sold for US$101 Million

Iao Kun Jeju Hotel Company Ltd., a subsidiary of Iao Kun Group Holding Company Ltd., has entered into a share purchase agreement with Golden & Luxury Compay Ltd., Solaire Korea Co. Ltd. and Bloomberry Resorts Corporation to acquire the Jeju Sun Hotel & Casino in Jeju, Korea, for approximately US$101 million in cash. Located 5 minutes away from the Jeju International Airport, the Jeju Sun Hotel & Casino is a 5-hibiscus hotel in Jeju City, on the island of Jeju-Do. The hotel features 203 rooms and suites, 2,125 square meters of gaming space, multiple dining establishments, a lobby lounge, bar and banquet facilities. Mr. Lam Man Pou, Chairman of Iao Kun Group Holding, commented, “We are excited to be acquiring the Jeju Sun Hotel and Casino in Korea, our first lodging venture, which effectively broadens our strategic focus toward becoming a full-service hospitality company. We believe the acquisition will materially expand our footprint in Asia into the growing Korean market and increasingly popular island of Jeju-Do while allowing us to further diversify and stabilize our revenue streams and cash flows.”

Holiday Inn & Suites to Debut in Thailand’s Eastern Seaboard

InterContinental Hotels Group (IHG) has signed a new management agreement with Origin Property PCL to launch a new Holiday Inn & Suites in Thailand’s industrial eastern seaboard. Located in Siracha town, Holiday Inn & Suites Siracha Laemchabang will offer a total of 300 rooms and long-stay suites. Other facilities at the hotel will include a restaurant, a lobby lounge, a swimming pool, a fitness center, a business center and five meeting rooms. Slated to open in 2018, the hotel will form part of a new mixed-use development that will comprise three residential towers and a retail shopping mall. The development is located just an hour’s drive from Bangkok. According to Leanne Harwood, IHG’s Vice President Operations - Southeast Asia and Korea, “Its close proximity to two of the busiest container ports in Southeast Asia, Laem Chabang Port and Si Racha Harbour, has drawn an influx of expatriates and business travelers to the district. We see a huge potential for an internationally-branded hotel in the area to cater to the rise in demand for quality accommodation.”

First Pan Pacific Hotel to Debut in Hanoi, Vietnam

Pan Pacific Hotel Group (PPHG) is set to introduce its Pan Pacific Hotels and Resorts brand in Vietnam, in the fourth quarter of 2016, with the launch of the Pan Pacific Hanoi. Earlier in 2001, the property was acquired by PPHG through a joint venture with Hanoi Construction Corporation and has been operating as Sofitel Plaza Hanoi. As of 1 October, 2016, it will be rebranded as Pan Pacific Hanoi after refurbishments to its lobby, lobby bar, all-day dining restaurant and meeting space. Featuring 273 guestrooms and 56 serviced suites, the hotel is located minutes away from the historic Old Quarter, and overlooks the West Lake and the Red River. Its central location also offers convenient access to the business district. Bernold Schroeder, Chief Executive Officer of PPHG said, “Having a brand-defining hotel in Hanoi is part of our strategy to establish our presence in key gateway developments in travel and tourism. We are committed to Vietnam as a strategic growth market as it ushers in a new phase of exciting developments in travel and tourism”.

The Park Hotels Launches Zone by The Park in Raipur, India

The Park Hotels launched the Zone by the Park hotel in Raipur, Chhattisgarh, last week. Situated 11 kilometers northwest of Raipur’s Swami Vivekananda Airport, the hotel features 72 rooms, two restaurants, a discotheque, a rooftop swimming pool and a fitness center. The hotel also features a ballroom measuring 13,000 square feet, the largest in the city. The hotel will be the fourth Zone by the Park hotel in India, after Coimbatore, Jaipur and Chennai. Raipur is the capital city of Chhattisgarh, and is an important tourist and business destination in the state.

Absolute Share Price Performance, as on 30 June 2016