Read the latest news from around the Asia-Pacific region.
Marina Bay Sands Injects Additional $750 Million Into Renovation as It Enters Phase Two
The Marina Bay Sands in Singapore has entered the second phase of its $1.75 billion renovation, reports HNN's Dana Miller and Rachel Daub. The $750 million second phase will focus on the property's Tower 3, hotel lobby and Sands SkyPark.
"It will include a reimagined VIP arrival experience, new premium dining and retail offerings, a lobby transformation as well as a renewed focus on wellness experiences for guests. More than 550 redesigned rooms, including approximately 380 suites, will be introduced in this phase," according to a news release.
Marriott Signs Record Number of Deals in 2023
Marriott International reported a record number of deals in 2023, closing out the year with net rooms growth of 4.7% and 91,000 rooms signed, reports HNN's Bryan Wroten
In international markets, Marriott signed a record 73,000 rooms across 74 countries and territories. Those countries include China, Vietnam and Japan.
Hotel Pipeline Down for Most of the World at the End of 2023
The Americas was the only world region with increased overall hotel pipeline activity, according to December year-end data from CoStar. The Asia-Pacific region was the only region in which construction activity grew.
In the Asia-Pacific, the number of hotel rooms in construction grew by 2% to 486,410. Rooms in the final planning phase grew by 2.3% to 111,462, but those in planning dropped by 4.8% to 290,699. The number of rooms in total under contract dipped 0.3% to 888,571.
CapitaLand Sells Three Japanese Hotels
Singapore's CapitaLand Ascott Trust sold three hotels in Japan for 10.7 billion Japanese yen ($72.3 million), reports HNN's Terence Baker. The hotels are the 182-room Hotel WBF Hommachi, the 168-room Hotel WBF Kitasemba East and the 168-room Hotel WBF Kitasemba West, all in Osaka.
“The three properties will be divested at about 15% above book value,” CapitaLand Ascott said in a news release. “Net proceeds of the divestment are expected to be about 3.9 billion yen and [we] will recognize a net gain of 1.1 billion yen.”
Investors Hesitant To Put Money Into Central Asian Hotels Despite Positive Trends
Central Asian countries trying to attract traveler demand have initiated tourism industry development programs, writes HNN contributor Vladislav Vorotnikov.
Kazakhstan's domestic hospitality industry has undergone significant changes in recent years, said Alexey Vishnevsky, front office manager of the Dostyk Hotel, in the country’s capital Astana.
Along with growth in occupancy and average daily rate, the country's hotels have seen forward bookings increase to 50 to 60 days out, he said.
“In general, the post-pandemic period saw a hike in interest in people’s traveling ... people who spent two years locked in their homes,” Vishnevsky said.
Deals, Developments, People on the Move
- U.S.-based PGIM Real Estate bought the 56-key Sheung Wan Hotel from Hong Kong-based Ovolo Group for 320 million Hong Kong dollars ($40.9 million).
- Thailand's Cross Hotels & Resorts entered into an agreement with Indonesia-based PT Sunset Studio One to launch the Cross Vibe brand in Indonesia. The 175-key Cross Vibe Paasha Atelier Bali Kuta is located near Kuta beach and Bali’s Ngurah Rai International Airport.
- Singapore-based The Ascott Limited and CapitaLand Wellness Fund closed on a 50-50 joint acquisition of the freehold 308-key Hotel G in Singapore.
- Hotel real estate investment trust Japan Hotel REIT bought the 170-key Hotel JAL City Kannai Yokohama for 4 billion Japenese yen.
- Chinese state-owned Overseas Chinese Town sold the 82-key Bulgari Hotel Shanghai to China-based Jiangsu Jinfeng Cement Group for 2.4 billion Chinese yuan ($337.6 million).
- Singapore-based Pacific Eagle Real Estate bought the 193-key Wanda Reign on the Bund hotel in Shanghai from China's Dalian Wanda Group.