Featured in this Asia Pacific Hospitality Newsletter - Week Ending 29 July 2005
Luxury Units Presold in Queensland
Hilton Plans US$43 Million Luxury Resort at Ningaloo Reef
Leela Group Buys Kovalam Resort for US$13.8 Million
Swissôtel Standing Tall in Moscow
InterContinental Financial Street Beijing Opens
Guoco Makes Play for Hotels, Gaming Investments
Absolute Share Price Performance, as at 29 July 2005

Luxury Units Presold in Queensland Return to Headlines
Gold Coast fund manager MFS is rolling out its new Mirage resort brand after signing the management rights to a US$47 million Queensland development, the Pavillions on 1770. The hotel is located on a beachfront site in the coastal enclave between the Queensland regional cities of Gladstone and Bundaberg. Currently under construction, the development will comprise 78 luxury units, of which roughly 70 have already been presold. MFS snared the management rights to the Pavillions complex for US$1.3 million and plans to brand it under its new Mirage chain, targeting the four- to five-star market. Anchoring the brand will be the existing Sheraton Mirage Resorts at Port Douglas as well as the Gold Coast, acquired by MFS and the Ray Group in a US$160 million deal in May. MFS targets to have a total of 10 resorts in the chain within the next 12 months.

Hilton Plans US$43 Million Luxury Resort at Ningaloo Reef Return to Headlines
The West Australian government has approved a US$43 million Hilton resort at Coral Bay, near Ningaloo Reef, about 1,000 kilometres north of Perth. The resort is to be built after a controversial marina project, Mauds Landing Marina, was rejected in 2003. Two Oceans has formed a joint venture with the owner, Deligo, and Ryan Capital Advisors to develop the five-star luxury spa resort on the existing Ningaloo Reef Resort site in Coral Bay. Hilton Group will manage the 130-key resort, which is expected to open by early 2007. Though Hilton's focus has been on its US$305 million flagship hotel in Sydney, it is looking at more sites around Australia.

Leela Group Buys Kovalam Resort for US$13.8 Million Return to Headlines
Leela Hotels has acquired a 190-room resort at Kovalam, Kerala, currently owned by the UAE-based construction major Mfar group, for about US$13.8 million. The 75-year-old palace is considered a heritage building and the acquisition of the resort is the latest addition to the hospitality business of Leela Hotels. The group, besides its flagship property, The Leela in Mumbai, also includes the Leela Palace in Bangalore and the Leela Palace, Goa. This is the Leela group's first entry into the hospitality business in Kerala.

Swissôtel Standing Tall in Moscow Return to Headlines
Opened on 18 July 2005, the Swissôtel Krasnye Holmy Moscow will be the tallest hotel in the city at 34 storeys. The hotel will be positioned positioned at the top end of Moscow's domestic and international hotel scene and joins the growing portfolio of Swissôtel Hotels & Resorts, a brand managed by Raffles International Limited. The hotel will be Swissôtel Hotels & Resorts' first foothold in Russia and Eastern Europe. The 235-room property will offer both business and leisure travellers spectacular views of downtown Moscow as well as a total of 28 suites, amongst them, one of the largest Presidential Suites in the city (154m²).

InterContinental Financial Street Beijing Opens Return to Headlines
The opening of InterContinental Financial Street Beijing marks the establishment of the first InterContinental hotel in Beijing and the first international premium hotel in the new civic and financial hub known as Financial Street. The hotel is the latest addition to InterContinental Hotels Group's Greater China portfolio, which now stands at 48 operating hotels. The 332-key hotel is located along the famous Financial Street, in the Xicheng District, West Beijing, where key government agencies, as well as 70% of China's top 100 companies and over 300 financial institutions are headquartered. A major growth centre, this stretch of prime real estate also represents more than 50% of the country's total financial assets, with a capital flow exceeding US$1.2 billion daily.

Guoco Makes Play for Hotels, Gaming Investments Return to Headlines
Property and investment firm Guoco Group, controlled by Malaysian tycoon Quek Leng Chan, has been keen to reinvent itself as a hotel and gaming player since selling Dao Heng Bank for U$6 billion in 2001. It is believed that its US$595 million takeover bid for the Singapore-listed hotel investment firm, BIL International, indicates a keen focus on the tourism and leisure industry. Guoco and Mr Quek have a stake in Hong Kong's first casino play, K Wah Construction, and a BIL deal is expected to expand its presence in the region's tourism and leisure market.

Absolute Share Price Performance, as at 29 July 2005
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