HVS Asia Pacific Hospitality Newsletter - Week Ending 7 August 2020 (August 10, 2020)

HVS Asia-Pacific Hotel Law Guide

By Eunice Wong and Daniel Voellm
The Hotel Law Guide helps serve hotel real estate owners, developers and operators as a reference for experienced and well-known lawyers and attorneys with a track record in Asia Pacific region. Each law firm highlights their representative attorneys with the type of services offered and notable projects.
To view and download the full article, please click here.

Green Lane Travel between Singapore and Malaysia to Commence on 17 August

From 17 August, Singaporeans and Malaysians will be allowed to travel between the two countries for business under the Reciprocal Green Lane (“RGL”) and Periodic Commuting Arrangement (“PCA”) schemes. Applications for entry into Singapore must be placed by Singapore-based companies or government agencies. The RGL will allow for short-term essential business and official travel between both countries for up to 14 days via either air or land links. This is open to all legal residents in Malaysia, including Singapore Citizens, Permanent Residents (“PRs”) or Long-Term Pass Holders who are Malaysians. Travellers are to use the passes to apply for visas if necessary, and they must submit pre-trip health and travel declarations and declare their place of accommodation in Singapore. They are also required to pay for their swab tests upon arrival and remain isolated until they receive the results. The PCA scheme, which only covers land crossings, will allow Malaysian citizens and PRs with valid long-term Singapore work passes to enter Singapore, provided they are willing to spend at least 90 days in Singapore for work upon entry. PCA travellers will be required to serve a seven-day Stay-Home-Notice at permitted accommodations, with cohorting only allowed for up to four employees.

Bali’s “Golden Triangle” Port to Open in 2021

Construction for the Sampalan Port on Nusa Penida Island and the Bius Munjul Port on Nusa Ceningan Island, Klungkung Regency, Bali has commenced. According to Budi Karya, Minister of Transportation, the construction of the ports is to provide support for the tourism industry in Bali. Both new ports are considered part of the Golden Triangle ports (Sanur, Nusa Penida and Nusa Ceningan/ Lembongan) which are all connected to Sanur Harbor, in Denpasar. Budi Karya has expressed hopes that the ports can be completed within nine months or mid-2021. Bali Governor I, Wayan Koster, mentioned that the construction of the ports will facilitate accessibility to the Golden Triangle area which can aid to increase visitations from local and international tourists. The plan for Sampalan Harbor is to build two levels with an area of 9,000 square-meters and a berthing capacity of 10 speedboats. The estimated development cost is IDR86.7 billion. The Munjul Bias Port will be built as a dock for speedboats and ferries, with an estimated construction cost of IDR109.6 billion. The Golden Triangle Port is expected to increase traffic to the islands of Nusa Penida and Nusa Lembongan/Ceningan and have an impact on the economy for the locals.

Itami Airport in Osaka Completes Four-Year Renovation

Itami airport in Osaka has reopened its north and south terminal buildings on 5 August, marking the completion of the major renovation. Kansai Airports, operator of the Itami, revealed that the new facilities offer increased opportunities to shop, eat, relax and work, enabling the airport to be more comfortable and enjoyable for travellers and people sending off passengers, as well as locals. The aim is to offer visitors a “Kansai experience” by showcasing products from the seven prefectures around Kyoto and Osaka which make up the region. The post-security retail area will feature Japan’s first walk-through commercial space in the domestic gate area, offering 31 new stores that mostly will sell exclusive Kansai-inspired products. There are also 17 F&B outlets joining the commercial space in the airport. Five new stores will also open in the pre-security area to attract locals and visitors who are not flying to the airport. Renovation work for the new terminals began in February 2016 and was scheduled for completion in July but was delayed due to Covid-19 pandemic. The work is part of a long-term upgrade on the airport, which handles about 17 million passengers per year across an extensive domestic network.

Ho Chi Minh City Considering VND400 Trillion Public Transport Plan

Ho Chi Minh City plans to spend nearly VND400 trillion (USD17.3 billion) on improving public transport and reducing the use of personal vehicles during the next decade. According to the city People’s Committee Office, the Department of Transport has submitted a plan which includes a focus on developing the bus network. By 2030, the city expects to commence operation of the Thủ Thiêm-Long Thành light rail to serve people travelling to the Long Thành International Airport, which is scheduled for completion in a few years. Other transport plans being considered are electric trams, inland waterway transport for tourism, regulating of taxi movements and operation of small buses. The authorities will solicit private investment in deploying public bicycles for rent and operating electric motorbikes and trams. By 2025, smart cards are expected to be used on all bus routes and on other public transport such as the metro, river bus and public bicycle and electric motorbike services. Cars entering the city centre are likely to have to pay toll. Approximately VND47.6 trillion (USD2 billion) will come from public funding and the rest from private investors and official development assistance

Absolute Share Price Performance, as on 7 August 2020

Closing Share Price as at 7 August 2020 31 July 2020 % Change
Australia Stock Exchange (ASX)
Elanor Investors Group 1.03 1.04 -1.4%
Event Hospitality & Entertainment Ltd 7.57 7.58 -0.1%
General Property Group 3.83 3.93 -2.5%
Mirvac Group 2.06 2.10 -1.9%
Bangkok Stock Exchange (THB)
Central Plaza Hotel Public Co Ltd 22.60 21.20 6.6%
Dusit Thani Public Co Ltd 7.00 6.95 0.7%
The Erawan Group Public Co Ltd 3.42 3.18 7.5%
Grande Asset Hotels & Property Public Co Ltd 0.56 0.52 7.7%
Laguna Resorts & Hotel Public Co Ltd 33.75 31.25 8.0%
Minor International Public Co Ltd 18.40 17.80 3.4%
S Hotels and Resorts Public Company Limited 2.04 2.00 2.0%
China Shanghai Stock Exchange (RMB)
Jinling Hotel Corporation Ltd 9.05 8.44 7.2%
China Shenzhen Stock Exchange (RMB)
Huatian Hotel Group Co.,Ltd. 3.45 3.38 2.1%
Guangzhou Dong Fang Hotel Co Ltd 12.11 9.90 22.3%
Huazhu Group Limited 35.98 34.46 4.4%
Hong Kong Stock Exchange (HK$)
Miramar Hotel & Investment Co Ltd 12.52 12.48 0.3%
Regal Hotels International Holdings Ltd 2.96 2.93 1.0%
Sino Hotels Holdings Ltd 2.42 2.42 0.0%
The Hong Kong & Shanghai Hotels Ltd 6.25 6.44 -3.0%
Shangri-La Asia Limited 5.77 5.51 4.7%
National Stock Exchange (INR)
Chalet Hotels Ltd 127.80 128.10 -0.2%
IHCL (Taj Hotels, Resorts & Palaces) 77.9 76.9 1.2%
EIH (Oberoi Hotels & Resorts) 67.5 65.5 3.1%
Hotel Leela Ventures 4.4 4.7 -7.4%
Lemon Tree Hotels Ltd 23.9 23.6 1.3%
Korea Exchange (KRW)
The Shilla 72100 71500 0.8%
Singapore Stock Exchange (S$)
Amara Holdings Ltd 0.34 0.35 -2.9%
ARA Htrust (US$) 0.35 0.38 -7.9%
Ascott Residence Trust 0.89 0.90 -1.7%
Banyan Tree Holdings Limited 0.23 0.23 -2.2%
CDL Hospitality Trusts 0.97 0.97 -0.5%
Eagle Htrust 0.14 0.14 0.0%
Far East Hospitality Trust 0.49 0.50 -1.1%
Frasers Hospitality Trust 0.43 0.44 -1.1%
Hotel Grand Central Ltd 0.94 0.92 1.6%
Hotel Properties Ltd 3.00 3.08 -2.6%
Mandarin Oriental International Ltd (US$) 1.49 1.50 -0.7%
Stamford Land Corporation Ltd 0.35 0.34 1.5%
Taiwan Stock Exchange (NT$)
Formosa International Hotels Corporation 133.5 136.0 -1.8%
The Ambassador Hotel, Ltd 29.2 28.0 4.3%
Tokyo Stock Exchange (JPY)
Japan Hotel REIT Investment Corp. 40400 38150 5.9%
Imperial Hotel, Ltd 1740 1628 6.9%
Red Planet Japan Inc 66 60 10.0%

For the latest in the hospitality industry, please visit: http://www.hvs.com/. You are also welcome to contact the following personnel.
Hok Yean Chee, Regional President – HVS Asia Pacific [email protected]
Mandeep S. Lamba, President, South Asia – HVS Anarock [email protected]
Daniel J Voellm, Managing Partner – HVS Hong Kong [email protected]
Mei Leng Ho, Senior Vice President – HVS Singapore [email protected]
Steven Zhu, Vice President – HVS Shanghai [email protected]
Florian Kittler, Managing Director – HVS Executive Search Europe & Asia Pacific [email protected]

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