Read the latest news from around the Asia-Pacific region. 

Though the rest of Australia’s hotels are waiting for international travelers to return, the Sydney market is enjoying a strong average daily rate, writes HNN contributor Tamara Thiessen. The country recently ended its COVID-19 restrictions for international visitors.

“Hoteliers are holding [ADR] to make up for the lower occupancy that still exists," said Dave Baswal, CEO at Hong Kong-based Ovolo Hotels. "A good strong ADR is definitely helping, especially in the leisure sector, where it’s even ahead of 2019 by about 8% to 10%. That’s because domestic business is punching above its weight and filling in the gaps."

Hoteliers and investors in Australia and New Zealand are dealing with the ongoing challenges of lower occupancies and staffing shortages, reports HNN contributor Tamara Thiessen from the Hotel Investment Conference Asia-Pacific. Though each a problem on their own, they exacerbate each other.

During the “Views from the boardroom” session, John Stawyskyj, who leads hotel and leisure projects at legal firm Ashurst, said he wonders about the sustainability of average daily rate above pre-pandemic levels.

“Consumer confidence is a real issue as to whether we’re starting to kill the golden goose with pricing,” he said, “because we’re relying on pricing and ADR as opposed to occupancy to sustain the industry.”

Publicly traded Chinese real estate company MDHM will acquire the 20-room Fernie Castle Hotel in Cupar Scotland from Braveheart Hotels, reports HNN’s Terence Baker. The price of the deal was not disclosed.

MDJM said the acquisition “with its historical and cultural value, will be an important initiative for the company’s business transformation and expansion to specialty hotels, tourism and cultural markets in Europe.”

Tokyo-based developer Iida Group Holdings plans to build a hotel and office tower on the site of shuttered live music venue 4th&B in San Diego, reports CoStar News’ Lou Hirsh. The property is located in an area where the city and local developers have been looking to revitalize.

Iida hasn’t submitted formal proposals to the city and did not respond to a request from CoStar News for comment. The preliminary description filed with the city shows the developer plans to build a 402-foot tower with approximately 58,000 square feet of office space and 300 hotel rooms.

Australia-based Baillie Lodges has acquired a majority stake in Chile’s Tierra Hotels and its collection of three luxury lodges across South America, reports HNN’s Bryan Wroten. 

Baillie Lodges, an affiliate of KSL Capital Partners, plans to invest in the three Tierra hotels and expand the hotel platform through acquisitions and new greenfield developments.

"This partnership is a natural fit for our companies and teams, and we look forward to sharing these wonderful new properties and experiences with our guests," Baillie Lodges Executive Chairman Michael Moret-Lalli said in the release. "Both brands share a vision for delivering exceptional, immersive experiences, and I am thrilled for our teams to join forces and continue exploring new frontiers in hospitality and leisure as the world gets back to traveling."

• South Korea-based BlueCove Investment has acquired the 615-key Grand Hyatt Seoul from Seoul Mirama Co. for a reported 1 trillion Korean won ($728.2 million).
• Crystalbrook Collection Hotels and Resorts, a subsidiary of United Arab Emirates-based Ghassan Aboud Group, has acquired the 176-key Rydges Sydney Harbor at The Rocks for 100 million Australian dollars ($68.9 million).
• China-based Guangzhou R&F Properties Co. sold the Wanda Realm Beijing to Beijing Yingxie Property Investment Co. for 550 million Chinese yuan ($72.1 million).
• Singapore’s Thakral Corp. sold the 111-room WBF Namba Motomachi in Osaka, Japan, for an undisclosed sum.
• Singapore-based Pan Pacific Hotels Group worked with Japan-based Tokyu Hotels to launch two hotels in the mixed-use Tokyu Kabuchiko Tower in Shinjuku, Tokyo: the 97-key Bellustar, Tokyo, a Pan Pacific Hotel; and the 538-key Hotel Groove Shinjuku, a Parkroyal Hotel.
• U.S.-based JDH Capital acquired the 105-room Sir Stamford at Circular Quay Hotel in Sydney from Singapore-based Stamford Land Corp. for 210 million Australian dollars.
• Malaysia-based UDA Holdings acquired the 450-room hotel within the Bukit Bintang City Centre development in Kuala Lumpur for 295 million Malaysian ringgit ($65.5 million).
• New Zealand-based Habitat Hotels and Apartments acquired the 25-room Hotel DeBrett Auckland for an undisclosed amount and will rebrand it as Ohtel.

Return to the Hotel News Now home page.