Featured in this Asia Pacific Hospitality Newsletter - Week Ending 2 November 2007
Starwood Hotels And Resorts Worldwide To Open First W Hotel in Yokohama, Japan
Indian Hotels Company Limited Awaits Orient Express's Board Approval To Increase Stake
Indian Hotels Company Limited And Eurocape Holdings Limited To Open Taj Palace Hotel In Cape Town, South Africa
China Travel International To Expand Hotel Business In China
China's Travel Industry Continues To Grow
Royal Palms To Develop US$381.6 Million Mixed-Use Development In Goregaon, India
Absolute Share Price Performance, As At 2 November 2007


Starwood Hotels And Resorts Worldwide To Open First W Hotel in Yokohama, Japan Return to Headlines
Starwood Hotels and Resorts Worldwide has announced the signing of the management agreement with Pacific Management Corporation and Penta-Ocean Construction Company Limited to manage the W Yokohama Hotel. With a prime waterfront location next to the Red Brick Warehouse in Yokohama's Minato Mirai 21 (MM21) district, the W Yokohama is in close proximity to prime offices, high-end retail, leisure and convention facilities in MM21 which attracts millions of visitors each year. Starwood plans to invest approximately US$200 million in W Yokohama which also marks the entry of its W brand in Japan following the Westin and Sheraton brands. Scheduled to open in 2010, the 41,000-square-metre W Yokohama is expected to offer 245 guestrooms, approximately 930 square metres of meeting space, three food and beverage outlets including a W Living Room Bar and a signature spa.

Indian Hotels Company Limited Awaits Orient Express's Board Approval To Increase Stake Return to Headlines
Tata Group's Indian Hotels Company Limited (IHCL) plans to further increase its stake in American Orient Express, subject to approval from the board of Orient Express. The move to make a new offer is announced following IHCL's wholly owned subsidiary Samasara Properties Limited's acquisition of a 10% stake in Orient Express in September 2007 for approximately US$211 million. The acquisition makes IHCL the single largest stakeholder in Orient Express. Orient Express, which runs over 35 hotels in 25 countries, was also approached by IHCL after the stake acquisition to enter into a partnership agreement to leverage global networks and establish brand equity for both companies. This was understood to be rejected by Orient Express; however, IHCL remains hopeful with more partnership talks currently ongoing.

Indian Hotels Company Limited And Eurocape Holdings Limited To Open Taj Palace Hotel In Cape Town, South Africa Return to Headlines
Indian Hotels Company Limited (IHCL) and South Africa's Eurocape Holdings Limited are in joint collaboration to develop the five-star Taj Palace Hotel at the corner of St George's Mall and Wale Street in Cape Town, South Africa. Scheduled to open by end of 2009, the Taj Palace Hotel is expected to be furnished with contemporary interior design while retaining its historic architectural façade of the old Reserve Bank, Board of Executors and Cape of Good Hope Bank buildings. The 180-room hotel is likely to offer several food and beverage outlets including an Indian restaurant and a bar, a gym, a pool, conference and business facilities and the signature Taj spa. IHCL is also developing another hotel in Johannesburg; however, the Taj Palace Hotel is expected to be its flagship hotel in South Africa.

China Travel International To Expand Hotel Business In China Return to Headlines
Hong Kong-listed China Travel International Investment Hong Kong Limited (CTI) is looking to expand its hotel business by acquiring Hotel Group from its parent company, China Travel Service (Holdings) Co Ltd for US$143 million. Hotel Group owns several hotels and serviced apartments in Beijing, Shanghai, Shenzhen, Macau and Hong Kong. It also manages the 'Metropark' brand, which manages over 30 hotels across China, Hong Kong and Macau. Besides the travel business, CTI is also involved in hotel operations, tourism, golf club operations and transportation businesses.

China's Travel Industry Continues To Grow Return to Headlines
According to China National Tourism Administration, China maintained its status as Asia's largest source of visitors as almost 30 million Chinese travelled abroad in the first nine months of 2007. This figure represents a 17% increase from the same period in 2006 and the growth rate of China's outbound visitors is increasing faster than the world's average. Out of the 30 million, 85% travelled for personal purposes while the remaining 15% are business travellers. In the whole of 2006, 34.5 million Chinese travelled overseas with top destinations including Hong Kong, Macau, Japan, Thailand, Singapore, Vietnam and Korea.

Royal Palms To Develop US$381.6 Million Mixed-Use Development In Goregaon, India Return to Headlines

Real estate developer, Royal Palms India (RPI), has announced its plans to invest US$381.6 million in the next three years to develop an eight-million square feet development in suburban Goregaon, India. The development is expected to comprise of three-star to five-star hotels, IT offices, residences, villas and a retail mall, with construction costs estimated at US$38.20 to US$50.90 per square foot, exclusive of land costs. RPI is expected to pre-sell the development to fund its construction, while profits would be invested in RPI's hospitality business. RPI will also develop a convention centre which spreads over 150,000 square feet and is likely able to accommodate 3,500 persons, in Goregaon. RPI, which holds 290 acres of land near Pune, 240 acres in Mumbai and 80 acres in Alibaug, also plans to venture into Hyderabad and Kolkata by 2010.


Absolute Share Price Performance, as at 2 November 2007
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