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14 December 2012 Sign up to automatically receive HVS mailings
Featured in this Asia Pacific Hospitality Newsletter
Vision and Strategy For Success In A Changing World
Singapore Airlines Sells Virgin Atlantic
Tauzia to Open 30 Harris Hotels in Three Years
Wyndham Brands to Debut in Singapore
Hyatt Place to Debut in Southeast Asia
Low Cost Carriers Lead Growth in Intraregional Travel
Centara Enters Budget Accommodation
Absolute Share Price Performance, as at 14 December 2012
Vision and Strategy For Success In A Changing World Return to Headlines

Save the date and attend the 9th China Hotel Investment Conference (CHIC) 2013 from 17-19 April at the Grand Hyatt in Shanghai. Organised by HVS, the world's leading hospitality consultancy firm, CHIC 2013 is themed "Vision and Strategy for Success in a Changing World". The focus will be on insights and strategies to generate the highest returns and market value for your hotel development and investment portfolios in a competitive and changing market environment.

CHIC has established its reputation as the most influential hotel investment conference in China by delivering a wealth of timely market insights that facilitate corporate strategies and growth in the world's second largest economy. The 2012 event saw a record turnout of 860 CEOs and leaders of the hotel and tourism industry from over 20 countries.

If you are seeking investment for a development, CHIC 2013 may be able to help you find partners. Send brief details of your project and the CHIC organising committee will forward it to CHIC delegates who have identified themselves as investors. Further information can be found at www.chinahotelconference.com.

Save the date now www.chinahotelconference.com/outlook.html. Early bird registration is open! Register early and save up to USD200!

Singapore Airlines Sells Virgin Atlantic Return to Headlines

Singapore Airlines has agreed to sell its 49% share in Virgin Atlantic to Delta Airlines for US$360 million, which it had acquired back in 2000. Virgin Group founder Sir Richard Branson will retain the majority 51% stake and the Virgin Atlantic brand and operating certificate. With this acquisition, Delta will boost its share of the trans-Atlantic travel market while Virgin will be able to be able to expand its network between Europe and North America.

Tauzia to Open 30 Harris Hotels in Three Years Return to Headlines

Indonesia-based hotel operator Tauzia Hotel Management is set to expand its network by opening an additional 30 Harris hotels across Indonesia in the next three years. These new four-star hotels will be built in second -tier cities such as Balikpapan, Kediri, Malang, Kendari and Palembang. The company will be opening four Harris hotels next year - one in Malang, East Java and three in Bali, which will be followed by 16 properties in 2014 and subsequently 10 more in 2015. These 30 properties will add 5,611 new rooms to Tauzia's portfolio. By 2015, there will be a total of 41 Harris hotels with a total inventory of 7,607 rooms. Tauzia is looking to expand the Harris brand to Malaysia and is currently in the process of opening a flagship hotel in Kuala Lumpur.

Wyndham Brands to Debut in Singapore Return to Headlines
Wyndham Hotels Group's brands, Days Inn and Ramada, are set to make its debut in Singapore by March 2013. Located at Zhongshan Park, the two hotels will form part of a SGD300 million (US$245 million) development which will include a commercial tower, shopping mall and food and beverage outlets. The 405-room Days Hotel Singapore is scheduled to open on 31 December 2012 while the 384-room Ramada Singapore is expected to open in March 2013. The development is being developed by Singapore's HH Properties Pte Ltd, a joint venture between property development group Hiap Hoe Limited and owner and manager of leisure and commercial properties SuperBowl Holdings Limited. Both hotels are independently owned but will be operated under a management contract with Wyndham Hotel Group.
Hyatt Place to Debut in Southeast Asia Return to Headlines
Upscale select-service brand Hyatt Place is scheduled to make its debut in Southeast Asia in 2017 with the opening of the Hyatt Place Bangkok, Sukhumvit on Soi 24. Bangkok-based real east firm Pioneer Property Company Limited and Hyatt Hotels and Resorts have signed an agreement to launch the brand in Southeast Asia. The new property will feature 220 rooms and seven studio suites and will have easy access to Bangkok's business, entertainment and dining areas. Hyatt Place Bangkok will join Hyatt's existing Thailand portfolio, the Grand Hyatt Erawan Bangkok and Hyatt Regency Hua Hin. Hyatt Hotels and Resorts will also be opening the Park Hyatt Bangkok in 2014 and Hyatt Regency Bangkok, Sukhumvit in 2017.
Low Cost Carriers Lead Growth in Intraregional Travel Return to Headlines
The low cost sector has helped to drive the strong increase in intra-regional air travel in Asia Pacific over the past decade and is expected to continue doing so. Intra-regional air travel has grown year-on-year by 5% in frequency and 7% in seats in December 2012, while other regional markets excluding Africa are seeing demand fall. The 2012 full year capacity is expected to grow by an additional 84 million seats compared with 2011. The low cost sector has contributed significantly towards this growth with almost 93% of this additional capacity being operated by low cost carriers (LCCs). The share of LCCs in the region has grown from 19% in 2011 to 24% in 2012. In the last decade, capacity in Asia Pacific has seen an annual growth of 7.3%, from 652 million seats in 2003 to over 1.2 billion seats by 2012.
Centara Enters Budget Accommodation Return to Headlines
Thailand-based Centara Hotels & Resorts has launched a new hotel brand, COSI Hotels, targeting budget travellers who do their own bookings online and are looking for affordable accommodation. The first COSI Hotel is expected to open in 2015 and the company is aiming to have at least 30 properties by 2020. The brand has been developed in response to the enormous economic growth in the region and the significant expansion of low cost airlines which has aided a rapid growth in travel. COSI Hotels will include free Wi-Fi within the property, "grab-n-go" restaurants, meeting rooms and an entertainment corner in the lobby area for movies and live sport.
Absolute Share Price Performance, as at 14 December 2012
Closing Share Price as at 14 December 2012 7 December 2012 % Change
Australia Stock Exchange (ASX)
Amalgamated Holdings Limited 6.77 6.77 -
General Property Group 3.56 3.60 -1%
Mirvac Group 1.51 1.50 1%
Ocean Capital Limited 0.14 0.14 -
Bangkok Stock Exchange (THB)
Central Plaza Hotel Public Co Ltd 25.75 26.25 -2%
Dusit Thani Public Co Ltd 45.75 47.00 -3%
The Erawan Group Public Co Ltd 4.26 4.04 5%
Grande Asset Hotels and Property Public Co Ltd 1.32 1.33 -1%
Laguna Resorts & Hotel Public Co Ltd 36.25 35.00 4%
Minor International Public Co Ltd 20.30 20.20 -
China Shanghai Stock Exchange (RMB)
Shanghai Jinjiang International Hotels Development 13.65 13.07 4%
Beijing Capital Tourism Co Ltd 10.94 10.19 7%
Jinling Hotel Corporation Ltd 6.87 6.79 1%
China Shenzhen Stock Exchange (RMB)
Hunan Huatian Great Hotel Co Ltd 4.00 3.94 2%
Guangzhou Dong Fang Hotel Co Ltd 6.15 5.90 4%
Shenzhen Century Plaza Hotel Co Ltd 4.09 3.72 10%
China Lodging Group, Limited 16.69 16.10 4%
Home Inns & Hotels Management Inc 27.22 25.25 8%
Hong Kong Stock Exchange (HK$)
Miramar Hotel & Investment Co Ltd 10.14 10.10 -
Regal Hotels International Holdings Ltd 3.57 3.58 -
Sino Hotels Holdings Ltd 2.43 2.50 -3%
The Hong Kong & Shanghai Hotels Ltd 10.80 11.00 -2%
Shangri-La Asia Limited 15.18 14.88 2%
Dorsett Hospitality International 1.87 1.97 -5%
Bombay Stock Exchange (INR)
IHCL (Taj Hotels, Resorts & Palaces) 63.20 64.45 -2%
EIH (Oberoi Hotels & Resorts) 71.05 72.90 -3%
Hotel Leela Ventures 29.25 30.70 -5%
Korea Exchange (KRW)
The Shilla 47,250 46,450 2%
Singapore Stock Exchange (S$)
Amara Holdings Ltd 0.44 0.44 -
Ascendas Hospitality Trust 0.91 0.91 -
Ascott Residence Trust 1.30 1.28 2%
Banyan Tree Holdings Limited 0.64 0.64 -
CDL Hospitality Trusts 1.94 1.92 1%
Far East Hospitality Trust 1.00 0.99 1%
Hotel Grand Central Ltd 0.90 0.91 -1%
Hotel Properties Ltd 2.87 2.70 6%
Mandarin Oriental International Ltd (US$) 1.42 1.42 -
Pan Pacific Hotels Group Limited 2.24 2.23 -
Shangri-La Asia Limited (HK$) 15.08 15.08 -
Stamford Land Corporation Ltd 0.56 0.56 -
Taiwan Stock Exchange (NT$)
Formosa International Hotels Corporation 360 356 1%
The Ambassador Hotel, Ltd 30.90 30.85 -
Tokyo Stock Exchange (JPY)
Japan Hotel REIT Investment Corp. 23,950 24,000 -
Imperial Hotel, Ltd 2,239 2,220 1%
Return to Headlines
HVS Beijing
Michelle Hui
HVS Hong Kong
Mark Keith & Daniel Voellm
HVS Mumbai
Natwar Nagar
HVS New Delhi
Kaushik Vardharajan
HVS Shanghai
Adeline Phua
HVS Singapore
David Ling
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 Singapore.

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