HVS - ASIA PACIFIC HOSPITALITY NEWSLETTER - For The Week Ending 31 October 2014 (November 7, 2014)

Accor Buys Mama Shelter

French-based hotel operator Accor has bought over 35% of capital from boutique hotel chain, Mama Shelter. The boutique chain currently has 5 hotels and competes in the affordable, ‘budget boutique’ segments. Prices start at approximately 69 euros per night. The group plans to expand the boutique brand by renaming some of its hotels to Mama Shelter and infusing these hotels with a brand that is fashionable and fresh. Mama Shelter’s current collection of 4 hotels in France and one in Istanbul totals 633 rooms and 450 employees. At least 20 properties are expected to open in locations such as Los Angeles, Lille, Zurich, Mexico City, Seoul, Amsterdam, Barcelona, New York and London.

Canopy by Hilton

Canopy, Hilton’s newest member of its brand portfolio is lifestyle category around the mindset of today's leisure and business travellers. Canopy aims to provide guests with an energizing, comfortable stay with more included value. A hotel taking on Canopy as a brand is focused on great neighbourhood locations with incorporating comfortable local design, food and cultural artistic elements. The brand has announced signed letters of intent for 10 locations in the USA and one in London, UK, with more on the way. Canopy's strong brand value proposition and operating platform have attracted the interest of a number ownership groups and property developers.

Adonis Hotel Opens In Singapore

The new boutique hotel of the local beauty and wellness brand, Adonis group has officially opened its doors this week. The hotel is nestled within Purvis Street occupying what used to be the old Nam Tong Lee Confectionary. Already, since its soft opening in July, this new 19 room hotel has gained recognition as a finalist for Asiarooms.com Hotel Awards 2014 “Hotel With Best Room Design”. The hotel has managed to maintain an average occupancy between 85% to 95% since July. The boutique and lifestyle segment in Singapore continues to grow with a number of properties expected to open over the next 24 months.

Tourism Arrivals increasing in Sri Lanka

At approximately 1.1 million visitors so far this year (up to September 2014), international arrivals to Sri Lanka are an impressive 22% up from the same period in 2013. The increase is largely driven by increased visitation from source markets such as  Eastern Europe, the Middle East and China which have seen a 97%, 74%, and 43% increase in arrivals respectively from 2012 to 2013.  The single largest growing feeder market during this period was Indonesia which increased almost 500% from 2,900 to 17,300 arrivals. With a target of 2 million international arrivals in 2015 and 2.5 million in 2016, Sri Lanka is slated to become of the region’s premier tourist and leisure destinations. In response to the increasing demand of quality accommodation on the island, many international hotel brands including Anantara, Hilton, Radisson, Marriott, Sheraton and Shangri-La are expected to enter the market in the next few years.

Absolute Share Price Performance, as on 31 October 2014

Closing Share Price as at31 Oct 201424 Oct 2014% Change
Australia Stock Exchange (ASX)
Amalgamated Holdings Limited10.029.703%
Mantra Group2.332.292%
General Property Group4.124.022%
Mirvac Group1.791.733%
Bangkok Stock Exchange (THB)
Central Plaza Hotel Public Co Ltd37.7537.75-
Dusit Thani Public Co Ltd63.2563.50-
The Erawan Group Public Co Ltd4.704.583%
Grande Asset Hotels and Property Public Co Ltd2.522.367%
Laguna Resorts & Hotel Public Co Ltd31.7532.00-1%
Minor International Public Co Ltd34.7534.501%
China Shanghai Stock Exchange (RMB)
Shanghai Jinjiang International Hotels Development22.6620.0913%
BTG Hotels Group Co Ltd15.2515.25-
Jinling Hotel Corporation Ltd11.7010.947%
China Shenzhen Stock Exchange (RMB)
Huatian Hotel Group Co Ltd6.115.746%
Guangzhou Dong Fang Hotel Co Ltd10.409.687%
Huazhu Hotels Group Ltd27.4926.095%
Home Inns & Hotels Management Inc30.2130.001%
Hong Kong Stock Exchange (HK$)
Miramar Hotel & Investment Co Ltd9.799.741%
Regal Hotels International Holdings Ltd4.734.75-
Sino Hotels Holdings Ltd2.452.50-2%
The Hong Kong & Shanghai Hotels Ltd12.2812.48-2%
Shangri-La Asia Limited11.2611.062%
Dorsett Hospitality International1.371.361%
National Stock Exchange (INR)
IHCL (Taj Hotels, Resorts & Palaces)104.10100.354%
EIH (Oberoi Hotels & Resorts)102.0598.054%
Hotel Leela Ventures23.1021.806%
Korea Exchange (KRW)
The Shilla100,500105,000-4%
Singapore Stock Exchange (S$)
Amara Holdings Ltd0.520.52-
Ascendas Hospitality Trust0.710.701%
Ascott Residence Trust1.241.24-
Banyan Tree Holdings Limited0.620.63-2%
CDL Hospitality Trusts1.731.702%
Far East Hospitality Trust0.830.821%
Hotel Grand Central Ltd1.321.32-
Hotel Properties Ltd4.054.001%
Mandarin Oriental International Ltd (US$)1.761.76-
OUE Hospitality Trust0.910.901%
Shangri-La Asia Limited (HK$)12.2012.20-
Stamford Land Corporation Ltd0.560.56-
Taiwan Stock Exchange (NT$)
Formosa International Hotels Corporation315.00306.003%
The Ambassador Hotel, Ltd27.6027.60-
Tokyo Stock Exchange (JPY)
Japan Hotel REIT Investment Corp.68,70065,5005%
Imperial Hotel, Ltd2,4102,3224%

Disclaimer: Information provided above has been gathered from various market sources. HVS has not independently verified the accuracy of the information provided. Interested parties should not rely on the information as statement of facts and are advised to make their own independent checks to verify the information provided. For further information, please feel free to contact HVS Asia Pacific.

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