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March 2, 2012 Sign up to automatically receive HVS mailings
Featured in this Asia Pacific Hospitality Newsletter
Top Asian Hotel Chains Strong Showing in Shanghai at CHIC 2012
Waldorf Astoria To Debut In Bangkok
Singapore's New Terminal 4 To Replace Budget Terminal
New Hilton Hotel Opens In Dalian
Hyatt Brand To Be Launched In Busan
Absolute Share Price Performance, As At 2 March
Top Asian Hotel Chains Strong Showing In Shanghai At CHIC 2012 Return to Headlines

Asia Pacific is providing hotel chains exponential opportunities for growth, within which China is one of the main focus for the business development efforts of hotel chains. According to HVS research in January 2012, amongst the top five hotel chains in Asia Pacific by number of rooms, Home Inns tops the list with 147,524 rooms across 174 cities in China; followed by Jin Jiang Hotels Group with 93,520 rooms; Europe-based giants, IHG and Accor and Nasdaq-listed 7 Days Inn. Three of the five - Home Inns, Jin Jiang and 7 Days Inn are all China homegrown hotel chains.

One of the interesting points is that Home Inns and Jin Jiang Inns have adopted merger and acquisition strategy to expand. Jin Jiang Hotels acquired a stake in IHR in March 2010, while Home Inns successfully completed its acquisition of Motel 168 International Holdings Limited in September 2011. Is merger and acquisition a sustainable viable expansion strategy for hotel chains? At CHIC 2012, Yang Weimin, Chairman, Jin Jiang International Hotels (Group) Company Limited will present a case study review of its successful acquisition of InterState Hotels & Resorts; David Sun, CEO, Home Inns will also share insights into the Motel 168 transaction.

Among the five hotel chains mentioned, the three China-based firms (Home Inns, Jin Jiang Hotels, 7 Days Inn) have focused largely on the economy and mid-tier segments, which gives indication of the potential and size of this segment. The hotel chains are also taking it one-step further to create organic growth by diversifying its brand portfolio. Senior decision-makers will share topics discussed in the boardroom on brand strategy and profile. CHIC 2012 also welcomes Xu Shuguang, Chairman & CEO, GreenTree Inn Chain; Chen Han, CEO, Super 8 Hotel (China) Co., Ltd; Christopher Zhang, Vice President, Starwood Hotels & Resorts and other leaders from the sector sharing their insights.

Within the exponential growing market, hotel chains are pursuing the essence of a new breed of hospitality brand required for China. Join James Stuart, Founder, The Brand Company at CHIC 2012 discussing what are the critical success factors for such brands? Which are the most successful Navigator hospitality brands in China today? Where will we see such brands emerging in the future? What are the likely advantages of being global versus local, new, versus established in becoming a Navigator hospitality brand in China and for Chinese travellers elsewhere?

Organised by HVS, co-hosted by China Tourism Academy and Beijing International Studies University, the 8th China Hotel Investment Conference will be held on April 18-20, 2012 at Grand Hyatt Shanghai. For registration and more information, please visit www.chinahotelconference.com, or call +86 21 5171 7003.

Waldorf Astoria To Debut In Bangkok Return to Headlines

Hilton Hotels and Resorts has signed a management agreement with Magnolia Finest Corporation to introduce the first Waldorf Astoria hotel in Southeast Asia, which will also be Hilton Worldwide's ninth property in Thailand. Scheduled to open in 2015, the Waldorf Astoria Bangkok will be located on Ratchadamri Road in Bangkok's Patumwan District, and will form part of a 60-storey mixed-use tower. The hotel will feature 170 guestrooms (including 34 suites) with a minimum size of 50 square metres, making them one of the largest hotel rooms in Bangkok. The hotel will have two spacious ballrooms and nine meeting rooms, a fitness centre and spa, as well as an outdoor pool. Hilton Worldwide currently manages six properties in Thailand including Conrad Bangkok, Millennium Hilton Bangkok, Hilton Pattaya, Hilton Phuket Arcadia Resort & Spa, Hilton Hua Hin Resort & Spa and Conrad Koh Samui.

Singapore's New Terminal 4 To Replace Budget Terminal Return to Headlines

Singapore's Changi Airport Group (CAG) has announced that operations at the low-cost terminal of Changi Airport will end on 25 September 2012, and the site will be cleared to make way for the construction of a larger terminal building. The new building, to be known as Terminal 4, will have a capacity of 16 million passengers per year and will be designed to enable efficient passenger processing and quick turnaround of aircraft. Terminal 4 will not have aerobridges. Unlike the present Budget Terminal, Terminal 4 will have a wide choice of retail and food and beverage offerings, as well as passenger amenities that will better serve the needs of travellers. Singapore's Budget Terminal handled more than 4.6 million passenger movements in 2011, while Changi Airport catered to a total of 46.5 million. Considering that the airport's existing capacity is 70 million passengers per year, there is still room to accommodate future growth. According to CAG, it is "planning ahead to ensure there is capacity to handle further increase in traffic demand". Construction of Terminal 4 will begin in 2013 and the new terminal is expected to be ready by 2017.

New Hilton Hotel Opens In Dalian Return to Headlines
Hilton Hotels and Resorts has announced the opening of Hilton Dalian, the third Hilton in China's northeast region. Located in Dalian's rapidly emerging and vibrant East Harbour District, the 370-room Hilton Dalian is 13 kilometres from Dalian International Airport, the largest and busiest airport in northeast China. The hotel is adjacent to the new 210-room Conrad Dalian, which also opened on the same day. Hilton Dalian will offer some of the city's most luxurious guestrooms, starting at 34 square metres. There will be a total of 18 suites, with options ranging from 80-square-metre Executive Suites to the 231-square-metre Presidential Suite. Hilton Dalian also offers a range of facilities for MICE guests, including a 1,688-square-metre ballroom - the largest ballroom in Dalian. Other facilities include five food and beverage outlets, a heated indoor swimming pool, fitness centre and private all-suite Chinese-style spa.
Hyatt Brand To Be Launched In Busan Return to Headlines
Hyatt has entered into a management agreement for a new hotel in the South Korean city of Busan. The Park Hyatt Busan is envisaged to open in 2013 as part of a new mixed-use development project comprising three residential towers, one office tower and retail space, located on a four-hectare site adjacent to Haeundae Beach. The hotel will feature 268 rooms, including 69 suites, ranging from 50 to 200 square metres. Facilities will include two restaurants, a lobby lounge, fitness centre, indoor swimming pool and spa with seven treatment rooms, as well as 715 square metres of meeting and event space. The hotel will be Hyatt's fifth in Korea, following the Park Hyatt Seoul, Grand Hyatt Seoul, Hyatt Regency Incheon and Hyatt Regency Jeju.
Absolute Share Price Performance, as at 2 March 2012
Closing Share Price as at 2 March 2012 24 February 2012 % Change
Australia Stock Exchange (ASX)
Amalgamated Holdings Limited 6.00 5.98 -
General Property Group 3.16 3.11 2%
Mirvac Group 1.22 1.19 3%
Ocean Capital Limited 0.15 0.15 -
Thakral Holdings Group 0.57 0.59 -3%
Living and Leisure Australia Group 0.051 0.051 -
Bangkok Stock Exchange (THB)
Central Plaza Hotel Public Co Ltd 12.10 11.70 3%
Dusit Thani Public Co Ltd 35.00 34.75 1%
The Erawan Group Public Co Ltd 2.58 2.56 1%
Grande Asset Hotels and Property Public Co Ltd 1.32 1.31 1%
Laguna Resorts & Hotel Public Co Ltd 43.00 44.75 -4%
Minor International Public Co Ltd 12.70 12.30 3%
China Shanghai Stock Exchange (RMB)
Shanghai Jinjiang International Hotels Development 17.73 17.65 -
Beijing Capital Tourism Co Ltd 14.51 14.18 2%
Jinling Hotel Corporation Ltd 7.51 7.51 -
China Shenzhen Stock Exchange (RMB)
Hunan Huatian Great Hotel Co Ltd 4.65 4.66 -
Guangzhou Dong Fang Hotel Co Ltd 7.68 7.86 -2%
Shenzhen Century Plaza Hotel Co Ltd 4.36 4.39 -1%
Home Inns & Hotels Management Inc 31.92 30.65 4%
Hong Kong Stock Exchange (HK$)
Miramar Hotel & Investment Co Ltd 8.49 8.40 1%
Regal Hotels International Holdings Ltd 2.90 2.99 -3%
Sino Hotels Holdings Ltd 2.70 2.50 8%
The Hong Kong & Shanghai Hotels Ltd 11.28 10.74 5%
Shangri-La Asia Limited 19.04 18.52 3%
kosmopolito Hotel International 1.40 1.54 -9%
Bombay Stock Exchange (INR)
IHCL (Taj Hotels, Resorts & Palaces) 67.3 71.7 -6%
EIH (Oberoi Hotels & Resorts) 89.9 83.5 8%
Hotel Leela Ventures 34.8 36.8 -5%
Korea Exchange (KRW)
The Shilla 44,250 44,900 -1%
Singapore Stock Exchange (S$)
Amara Holdings Ltd 0.35 0.37 -5%
Ascott Residence Trust 1.08 1.06 2%
Banyan Tree Holdings Limited 0.62 0.63 -2%
CDL HTrust 1.73 1.72 1%
Hotel Grand Central Ltd 0.79 0.76 4%
Hotel Properties Ltd 1.90 1.89 1%
Mandarin Oriental International Ltd (US$) 1.74 1.70 2%
Pan Pacific Hotels Group Limited 1.87 1.85 1%
Shangri-La Asia Limited (HK$) 18.54 18.14 2%
Stamford Land Corporation Ltd 0.54 0.53 2%
Taiwan Stock Exchange (NT$)
Formosa International Hotels Corporation 449 450 -
The Ambassador Hotel, Ltd 39.20 39.80 -2%
Tokyo Stock Exchange (JPY)
Nippon Hotel Fund Investment Corporation 218,800 216,100 1%
Japan Hotel and Resort Inc 193,600 193,600 -
Imperial Hotel, Ltd 2,000 2,000 -
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