HVS Asia Pacific Hospitality Newsletter - Week Ending 24 November 2017 (November 24, 2017)

IHG Partners with SAMHI to Expand Holiday Inn Express Portfolio in India

InterContinental Hotels Group has partnered with SAMHI to rebrand approximately 2000 rooms (operating and under construction) within its India hotel portfolio, to Holiday Inn Express hotels. The recently signed portfolio comprises 14 hotels, including ten open hotels across key cities such as Ahmedabad, Bengaluru, Chennai, Delhi NCR, Hyderabad, Kolkata, and Mumbai. The additional four hotels are under construction. All hotels in the portfolio will be closed while they are being refurbished and upgraded with the latest design directives, to ensure the portfolio is fully representative of the Holiday Inn Express brand globally. The partnership has strengthened IHG’s presence across India, with the newly signed hotels located across 11 key cities, resulting in 90 per cent of Holiday Inn Express portfolio being concentrated in Tier 1 cities. IHG currently has 30 hotels operating across four brands in India, including InterContinental, Crowne Plaza, Holiday Inn and Holiday Inn Express, with a further 33 in the development pipeline.

Japanese Contractor Firm, Kajima, to Undertake US$398 Million Development Project in Myanmar

Japanese general contractor, Kajima has agreed to develop an urban integrated development project in Yangon, Myanmar. Valued at an estimated 45 billion yen (US$398 million), the integrated project will consist of a 21-story office building, a 20-story hotel, a 27-story extended-stay hotel and commercial facilities on ministry-owned land. The total floor area of the entire development is estimated to be 170,000 square meters. Once completed, the development will also include a children’s library as well as open space to help ease traffic congestion. Kajima will sign a contract with the Ministry of Construction of Myanmar, and the build-operate-transfer agreement will allow the Japanese company control of the facilities and land for a duration of 70 years.

Shangri-La Opens the Shangri-La Colombo in Sri Lanka

Hong Kong based Shangri-La Hotels announced the opening of the Shangri-La Colombo in Colombo, Sri Lanka. Located along Galle Face, the hotel features 500 rooms and suites, and 41 serviced apartments. On the food and beverage front, the Shangri-La Colombo features three restaurants, a bar, a lounge, and approximately 25,300 square feet of indoor meeting and event space. Other features at the hotel include a fitness centre, a swimming pool and a spa.

First New Century Manju Hotel Opens in Zhoushan, Zhejiang Province, China

New Century Hotels & Resorts recently announced the opening of New Century Manju Hotel Zhoushan (Putuo New World), the first Manju hotel in Zhoushan, Zhejiang Province, China. Strategically located along Haiyin Road in Putuo District of Zhoushan City, the hotel stands close to Putuo Fitness Centre, Putuo Hospital, Putuo Mountain – a national AAAAA tourist attraction and Zhujiajian Scenic Area. It is 38 kilometers from the exit of Ningbo-Zhoushan Highway, 12 minutes’ drive from Putuo Long-Distance Bus Station, 15 minutes’ drive from Zhujiajian Wugongzhi Ferry Terminal and 20 minutes’ drive from Zhoushan Putuoshan Airport. The 121-room hotel offers a front desk, a reception center, a lobby lounge and a luggage room on the first floor, a breakfast restaurant with a capacity of 100-120 seats on the fourth floor, and a small meeting room that can accommodate 30-40 people. In addition, the hotel features a roof-top garden, a book bar, a tea bar, an outdoor barbecue area and a parking space.

Marriott Announces the Opening of Westin Kolkata Rajarhat in West Bengal, India

Marriott International recently opened the Westin Kolkata Rajarhat in Kolkata, West Bengal. Featuring 314 rooms and suites, the hotel is located approximately 9 kilometers southeast of Kolkata’s Netaji Subhash Chandra Bose Airport. The hotel currently features an all-day dining restaurant, with more food and beverage options scheduled to open in 2018. In terms of meeting spaces, the hotel features a 13,160 square feet ballroom in addition to a 17,000 square feet outdoor lawn. Other facilities include a swimming pool, a fitness center and a spa, which is also scheduled to open in 2018.

Caesars Entertainment Submits Plans for Casino Resorts in Osaka and Tomakomai, Japan

Las Vegas-based Caesars Entertainment Corporation (Caesars) has submitted plans to build integrated casino resorts in Osaka and Tomakomai, Hokkaido. Last year, Japan passed a legislation to legalize casinos at integrated resorts, and are currently taking steps to establish the legal framework to oversee their operation. Betting on Japan’s potential to become one of the world’s top gaming destinations, Caesars has submitted proposals to local municipalities, stating that they are willing to spend US$5 to 10 billion on each site. Both resorts will incorporate local elements, such as robotics, animation and cuisine. The Tomakomai resort will feature a caldera-like fountain surrounded by a hotel, a theatre, and conference facilities to represent a volcanic nation, while the Osaka resort will promote medical tourism, with appropriate facilities on-site. Other major gaming companies, such as MGM Resorts International and Hard Rock International, have also launched bids in Yokohama to develop integrated resorts in the area. Depending on when the implementation bills are passed, the launch of Japan’s first integrated casino resorts is slated to be around 2023-2024.

Absolute Share Price Performance, as on 24 November 2017

Closing Share Price as at 24 November 2017 17 November 2017 % Change
Australia Stock Exchange (ASX)
Elanor Investors Group 2.19 2.16 1.4%
Event Hospitality and Entertainment Ltd 12.81 12.82 -0.1%
General Property Group 5.20 5.25 -1.0%
Mirvac Group 2.43 2.44 -0.4%
Mantra Group 3.90 3.91 -0.3%
Bangkok Stock Exchange (THB)
Central Plaza Hotel Public Co Ltd 50.5 48.0 5.2%
Dusit Thani Public Co Ltd 11.1 11.3 -1.8%
The Erawan Group Public Co Ltd 8.1 8.0 1.3%
Grande Asset Hotels and Property Public Co Ltd 1.2 1.2 0.0%
Laguna Resorts & Hotel Public Co Ltd 26.5 25.5 3.9%
Minor International Public Co Ltd 43.8 44.3 -1.1%
China Shanghai Stock Exchange (RMB)
Jinling Hotel Corporation Ltd 10.39 10.45 -0.6%
China Shenzhen Stock Exchange (RMB)
Huatian Hotel Group Co Ltd 4.06 4.07 -0.2%
Guangzhou Dong Fang Hotel Co Ltd 11.70 11.60 0.9%
China Lodging Group Ltd 122.81 124.63 -1.5%
Hong Kong Stock Exchange (HK$)
Miramar Hotel & Investment Co Ltd 16.60 16.74 -0.8%
Regal Hotels International Holdings Ltd 5.91 5.94 -0.5%
Sino Hotels Holdings Ltd 3.10 3.10 0.0%
The Hong Kong & Shanghai Hotels Ltd 11.38 11.48 -0.9%
Shangri-La Asia Limited 17.80 17.78 0.1%
National Stock Exchange (INR)
IHCL (Taj Hotels, Resorts & Palaces) 120.0 111.9 7.3%
EIH (Oberoi Hotels & Resorts) 153.8 155.0 -0.8%
Hotel Leela Ventures 21.3 20.0 6.5%
Korea Exchange (KRW)
The Shilla 85300 83800 1.8%
Singapore Stock Exchange (S$)
Amara Holdings Ltd 0.54 0.54 0.0%
Ascendas Hospitality Trust 0.87 0.86 0.6%
Ascott Residence Trust 1.19 1.18 0.8%
Banyan Tree Holdings Limited 0.58 0.58 0.0%
CDL Hospitality Trusts 1.65 1.64 0.6%
Far East Hospitality Trust 0.70 0.70 0.7%
Frasers Hospitality Trust 0.78 0.78 0.0%
Hotel Grand Central Ltd 1.40 1.43 -2.1%
Hotel Properties Ltd 3.84 3.96 -3.0%
Mandarin Oriental International Ltd (US$) 2.20 2.21 -0.5%
OUE Hospitality Trust 0.83 0.81 2.5%
Stamford Land Corporation Ltd 0.51 0.51 1.0%
Taiwan Stock Exchange (NT$)
Formosa International Hotels Corporation 151.5 151.0 0.3%
The Ambassador Hotel, Ltd 23.0 23.2 -0.9%
Tokyo Stock Exchange (JPY)
Japan Hotel REIT Investment Corp. 78200 77700 0.6%
Imperial Hotel, Ltd 2117 2068 2.4%
Red Planet Japan Inc 30 30 0.0%

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