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March 9, 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
Alila To Open Two New Resorts In Indonesia
China's Lijiang Airport To Go International
Shangri-La To Open Maldives' First Full Size Golf Course
IHG To Double Southeast Asia Hotels In Three Years
Absolute Share Price Performance, As At 9 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.

Alila To Open Two New Resorts In Indonesia Return to Headlines

Alila Hotels and Resorts will open two new properties in Indonesia in 2014, Alila Villas Bintan and Alila Seminyak in Bali. Located in Lagoi Bay on Bintan Island, close to Singapore, Alila Villas Bintan will become the third addition to the Alila Villas brand. The 14.4-hectare gated development will comprise 12 three-bedroom beachfront residences and a luxury boutique resort with 52 one- and two-bedroom villas. One key development at the resort will be 'The Village', an additional four-hectare hub for arts, culture, culinary and wellness activities. Located inside this area will be a spa, cooking school, restaurants, bar and tea house, museum, gallery and boutiques. Alila's second project, Alila Seminyak, will become the fifth Alila-managed property in Bali.

China's Lijiang Airport To Go International Return to Headlines

According to local authorities, Lijiang Airport, located in one of China's famous tourist towns, has been approved to take international airliners. This means more tourists will be able to reach Lijiang by direct air flights. Currently, the airlines operating at the airport only fly 21 air routes, most of which are regional ones within Yunnan Province. Tourists to Lijiang often opt to take flights to the provincial capital of Kunming and change to regional flights to Lijiang. According to the government circular, the number of passengers who pass through the airport could double to 4.05 million on an annual basis by 2015, when the number of flights would reach 42,000 per year. The old town of Lijiang, a site on the UNESCO World Heritage list, has a history of more than 800 years, and is one of the surviving ancient towns in China.

Shangri-La To Open Maldives' First Full Size Golf Course Return to Headlines
Shangri-La's Villingili Resort and Spa in Addu Atoll is due to open the first full-sized golf course in the Maldives on 27 March. The nine-hole course sits on 7.5 hectares of previously undeveloped land at the southern end of Villingili Island. Designed for recreational golfers, most of the holes are par three and average 123 yards. Most holes are set among the island's natural vegetation including palms, pandanus and other tropical plants. Other facilities include a clubhouse, refreshment bar and pro shop, while shoe and equipment rental services are also available. The first golf course in the Maldives is from Kuredu Island Resort, which features a small six-hole par three course. In addition, plans were unveiled last year for a US$500 million floating golf course in the country, which will see holes connected by underwater tunnels. The course is expected to launch in 2013.
IHG To Double Southeast Asia Hotels In Three Years Return to Headlines
InterContinental Hotels Group (IHG) plans to double the number of properties it manages in Southeast Asia in three years to meet demand from tourists and business travellers. The group, which currently has 37 hotels in Southeast Asia, plans to triple the number of properties in Vietnam to nine and double locations in Singapore to eight over the next three to five years, according to IHG. The group signed two Holiday Inn resorts in Vietnam recently. In Thailand and Indonesia, IHG is planning to double their hotels to 24 and 14 hotels, respectively, over the next five years; IHG opened a Crowne Plaza hotel in Semarang, Indonesia in January this year. IHG expects demand for accommodations on the resort islands of Phuket, Phi Phi and Krabi in Thailand and in the city of Bangkok to grow.
Absolute Share Price Performance, as at 9 March 2012
Closing Share Price as at 9 March 2012 2 March 2012 % Change
Australia Stock Exchange (ASX)
Amalgamated Holdings Limited 5.89 6.00 -2%
General Property Group 3.11 3.16 -2%
Mirvac Group 1.22 1.22 -
Ocean Capital Limited 0.16 0.15 7%
Thakral Holdings Group 0.55 0.57 -4%
Living and Leisure Australia Group 0.051 0.051 -
Bangkok Stock Exchange (THB)
Central Plaza Hotel Public Co Ltd 11.40 12.10 -6%
Dusit Thani Public Co Ltd 35.00 35.00 -
The Erawan Group Public Co Ltd 2.60 2.58 1%
Grande Asset Hotels and Property Public Co Ltd 1.33 1.32 1%
Laguna Resorts & Hotel Public Co Ltd 43.00 43.00 -
Minor International Public Co Ltd 12.70 12.70 -
China Shanghai Stock Exchange (RMB)
Shanghai Jinjiang International Hotels Development 17.76 17.73 -
Beijing Capital Tourism Co Ltd 14.78 14.51 2%
Jinling Hotel Corporation Ltd 7.50 7.51 -
China Shenzhen Stock Exchange (RMB)
Hunan Huatian Great Hotel Co Ltd 4.76 4.65 -
Guangzhou Dong Fang Hotel Co Ltd 7.79 7.68 1%
Shenzhen Century Plaza Hotel Co Ltd 4.62 4.36 6%
Home Inns & Hotels Management Inc 27.80 31.92 -13%
Hong Kong Stock Exchange (HK$)
Miramar Hotel & Investment Co Ltd 8.45 8.49 -
Regal Hotels International Holdings Ltd 3.01 2.90 4%
Sino Hotels Holdings Ltd 2.69 2.70 -
The Hong Kong & Shanghai Hotels Ltd 10.88 11.28 -4%
Shangri-La Asia Limited 19.10 19.04 -
kosmopolito Hotel International 1.45 1.40 4%
Bombay Stock Exchange (INR)
IHCL (Taj Hotels, Resorts & Palaces) 66.8 67.3 -1%
EIH (Oberoi Hotels & Resorts) 87.9 89.9 -2%
Hotel Leela Ventures 35.2 34.8 1%
Korea Exchange (KRW)
The Shilla 43,300 44,250 -2%
Singapore Stock Exchange (S$)
Amara Holdings Ltd 0.35 0.35 -
Ascott Residence Trust 1.08 1.08 -
Banyan Tree Holdings Limited 0.61 0.62 -2%
CDL HTrust 1.73 1.73 -
Hotel Grand Central Ltd 0.80 0.79 1%
Hotel Properties Ltd 1.89 1.90 -1%
Mandarin Oriental International Ltd (US$) 1.66 1.74 -5%
Pan Pacific Hotels Group Limited 1.81 1.87 -3%
Shangri-La Asia Limited (HK$) 19.02 18.54 3%
Stamford Land Corporation Ltd 0.54 0.54 -
Taiwan Stock Exchange (NT$)
Formosa International Hotels Corporation 451 449 1%
The Ambassador Hotel, Ltd 38.55 39.20 -2%
Tokyo Stock Exchange (JPY)
Nippon Hotel Fund Investment Corporation 221,700 218,800 1%
Japan Hotel and Resort Inc 200,000 193,600 3%
Imperial Hotel, Ltd 1,995 2,000 -
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