Be in the Know With the New Regional HVS Asia Pacific Hospitality Newsletter

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Welcome to our first HVS Asia Pacific Hospitality Newsletter. We will be bringing you a selection of tourism and hospitality-related publications and news for the week.

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Hyatt Centric to Debut in Melbourne, Australia

US-based Hyatt Hotels Corporation (“Hyatt”) has penned a hotel management agreement with Little Projects, an Australia-based developer, for the first Hyatt Centric hotel in Melbourne. Strategically located on Downie Street near the city’s Docklands and Southbank districts, Hyatt Centric Melbourne will provide 280 guestrooms and suites alongside a restaurant serving local cuisine and a rooftop bar overlooking Yarra River and Southbank. When it opens in 2020, the hotel will join the 221-key Hyatt Centric Hobart, slated to open in early 2019, in Australia and a global portfolio of 20 Hyatt Centric brand hotels. The Hyatt Centric brand first made its appearance in the Asia-Pacific region with the opening of Hyatt Centric Ginza Tokyo in January 2018.

Ascott Joint Ventures with Huazhu and CJIA to Grow its Citadines Brand in China

Singapore-based CapitaLand’s wholly owned serviced residence unit, The Ascott Limited (“Ascott”), has entered into a joint venture with China-based hotel operator, Huazhu Hotels Group (“Huazhu”), and Huazhu’s apartment rental subsidiary, CJIA Apartments Group (“CJIA”), to step up the expansion of its Citadines brand in China. With an initial registered capital of RMB100 million (S$21 million), Ascott, Huazhu, and CJIA will hold 50%, 10%, and 40% respective stakes in the partnership. Through the collaboration, Ascott will grow the Citadines brand through ‘manachise’ and has targeted to sign 16,000 Citadines-branded units in China by 2025. ‘Manachise’ is a hybrid of franchise and management contract, whereby an on-site manager appointed by the joint venture will actively manage the operations of the property. In the initial years, the partnership will focus on first-tier cities of Shanghai, Beijing, and Shenzhen with its first property already secured in the Pudong district of Shanghai. Ascott has more than 110 properties with over 20,000 units across more than 30 cities in China. Of these, 30 are Citadines-branded properties with close to 5,000 units across 19 cities.

Vietnam Extends Visa Exemptions for Five European Countries

Vietnam has extended visa exemptions for citizens from France, Germany, Italy, Spain, and the United Kingdom (UK) until June 30, 2021. Vietnam first offered visa waivers for visitors from these countries in July 2015 and the policy had been updated annually in the past. According to the Vietnam National Administration of Tourism (“VNAT”), as of year-to-date (YTD) April 2018, visitors from the five European countries account for 6.6% of all foreign arrivals to Vietnam and have increased by 9.8% over the same period last year. When the extension expires in three years’ time, Vietnam will review its unilateral visa exemption policy and re-evaluate its e-visa pilot. The country currently offers visa exemptions for 24 countries, including nine ASEAN countries.

Dusit International to Debut in Vietnam with Phu Quoc Opening

Thailand-based Dusit International (“Dusit”) will launch its first property in Vietnam this month with the opening of the Dusit Princess Moonrise Beach Resort on Phu Quoc Island. Located in the south of Vietnam, Phu Quoc is the country’s largest island and a fast-growing tourist destination with white sand beaches, coral reefs, and tropical rainforest. The four-star resort operating under Dusit’s upper-midscale Dusit Princess brand will be located on Phu Quoc’s west coast with views on Bai Truong beach. The property will feature 108 guest rooms, ranging from 32 square-metre deluxe rooms to 90 square-metre suites. Dusit International currently operates 27 properties around the world, with more than 50 confirmed projects in the pipeline.

Absolute Share Price Performance, as on 11 May 2018