Notwithstanding the dampened buyer sentiment in the residential market, Hong Kong’s real estate investment market witnessed a surge in en-bloc hotel transactions. While 2021 was considered an active year for hotel investment, 2022 is set to become substantially more dynamic. In the first five months of 2022 alone, two en-bloc hotel deals have been closed, while three others are reportedly underway.
CapitaLand Investment Limited’s (CLI) wholly owned lodging business unit, The Ascott Limited (Ascott) is acquiring its first lyf-branded coliving property in Sydney, Australia. The acquisition of the freehold asset is made via the Ascott Serviced Residence Global Fund (ASRGF)1, Ascott’s private equity fund with Qatar Investment Authority. This is ASRGF’s third investment in 2022, following the acquisition of Somerset Hangzhou Bay Ningbo and Citadines Canal Amsterdam in March 2022. To date, ASRGF has invested in 12 properties for close to US$500 million. ASRGF has since divested its first property at returns that outperformed its expected underwriting.
According to the latest Construction Pipeline Trend Report from Lodging Econometrics (LE), at the end of Q1 ‘22, China’s total hotel construction pipeline reached record high project and room counts, standing at 3,711 projects/704,101 rooms and up 8% by projects and 7% by rooms year-over-year (YOY).China has 2,623 projects/477,245 rooms presently under construction, both at record highs, and up 11% and 12% YOY, respectively. Projects scheduled to start construction in the next 12 months stand at 504 projects/96,054 rooms. Projects and rooms in the early planning stage are up 26% and 17% YOY, respectively, and stand at 584 projects/130,802 rooms at the end of Q1 2022.
Australia’s International Hotel Group, TFE Hotels, has announced a rapid expansion into Asia with their homegrown brands, Adina and Vibe Hotels, due to open for business in Q3 and Q4 of this year.
Accor in collaboration with Ennismore today announced an unprecedented long-term master franchise agreement with Country Garden’s core alliance enterprise, Funyard Hotels and Resorts. Together with Funyard, one of the top hotel and property developers in China, Accor and Ennismore will introduce the lifestyle brand JO&JOE to China, with a commitment to open at least 1,300 JO&JOE hotels, representing more than 100,000 guestrooms. Funyard will be the exclusive strategic partner of the JO&JOE brand in China.
La Vie Hotels & Resorts, one of Asia Pacific’s leading and fastest growing independent hotel management companies, has signed a landmark deal with Radisson Hotel Group and Sino Lanka Group to operate three hotels in Sri Lanka.
With the recent reopening of Vietnam’s borders, Marriott International, Inc. today announced plans to expand its portfolio in Vietnam, expecting to add nearly 9,000 rooms within the company’s portfolio and see the debut of key brands including Ritz-Carlton Residences, Marriott Hotels, Westin, and Courtyard by Marriott.
Fairfield by Marriott, part of Marriott Bonvoy’s portfolio of 30 extraordinary brands, today announced the planned openings in 2022 of seven new Fairfield properties across four prefectures in Japan: Nara, Hokkaido, Hyogo, and Okayama. Together with these seven planned openings, the Fairfield by Marriott Michi-no-Eki project is expected to expand its portfolio to a total of 21 hotels across nine prefectures in the country by the end of 2022.
With demand recovering faster than expected in 2021, hotel companies put the COVID-blues behind them and pressed the accelerator on their expansion plans, resulting in a year-over-year increase of over 24% in brand signings by keys. During the year, 135 new hotels with 12,359 rooms entered the branded hotel market, while 58 hotels with 3,108 rooms were rebranded.
Accor is advancing through 2022 with a continued focus on expanding its presence across Greater China, offering more hotels to travelers and loyalty members than ever before, from acclaimed brands such as Raffles, Fairmont, Sofitel, MGallery, Pullman, Grand Mercure, Novotel, Mercure, and ibis. Accor’s new project signings in China reached an all-time high in 2021 – leading to more than 520 hotels now in operation and an additional 350 under development. Accor is also on track to drive even greater momentum and growth success this year.
Marriott International, Inc. today announced plans to expand its portfolio in Greater China with the anticipated additions of more than 50 hotels in over 30 destinations across the region in 2022. The company also expects to open its 500th hotel in Greater China in early 2023, underscoring its confidence in the recovery and long-term growth of the region.
Radisson Hotel Group further strengthened its portfolio in India with the signing of nine new hotels across five brands in 2021. Located in key gateway cities and emerging destinations, these new hotels will collectively add over 1,000 rooms to its domestic network in the next three to five years. In 2021, the Group grew its presence in India with the opening of 12 new hotels and introducing two new brands, including Radisson Individuals and Radisson RED.
Narai Hospitality Group is expanding its portfolio into luxury hospitality with the launch of Marasca Hotels & Resorts—a collection of intimate, casual luxury escapes in unique locations that promise ‘cherry-on-top’ moments and experiential stays. Marasca will mark its entrance into Thailand’s hospitality space with the first property, Marasca Khao Yai, opening in 2022, which will be followed by Marasca Koh Samui in 2023.
Burgeoning hotel group, Meliá Hotels International, is set to become one of the largest international hotel brands in Vietnam through a new collaboration with the country's largest domestic hotel owner, Vinpearl.
As seen in the Q4 2021 China Construction Pipeline Trend Report from Lodging Econometrics (LE), China's total hotel construction pipeline at the end of the fourth quarter stands at 3,693 projects/700,567 rooms, up 9% by projects and rooms year-over-year (YOY).Despite the country’s COVID-19 travel restrictions for international visitors, hotel construction and development in China continued to thrive throughout 2021. At year-end, both projects and rooms in the construction pipeline are at new all-time highs, marking the highest totals the country has ever seen.
Indian Hotels Company (IHCL) today announced the signing of 13 new amã Stays & Trails bungalows. With this, the brand is stepping into four new destinations – Chandigarh, Gurgaon, Kanha and Kochi. It is also adding another bungalow in Lonavala.
Best Western® Hotels & Resorts breaks new ground in Vietnam with the signing of an exciting two new projects in Ho Tram, the vibrant beachfront resort area just 110km from Ho Chi Minh City, which is set to redefine the region’s tourism and hospitality industry.
IHG Hotels & Resorts, one of the world’s leading hospitality companies, is proud to announce a four-hotel, 2,709-room portfolio deal in Vietnam with long-standing partner Sun Hospitality Group (a member of Sun Group), the renowned tourism-focused real estate developer.
Leading international hospitality management company, Hilton (NYSE: HLT), today celebrated a new milestone in China with the opening of its 400th hotel in the country — Hilton Lanzhou City Center. The opening marks the first hotel under Hilton Hotels & Resorts in Gansu Province, and signals a positive growth momentum for the company amidst a challenging year to continue the rapid expansion of its extensive presence in the market.
Mr. Puneet Chhatwal, MD & CEO, Indian Hotels Company (IHCL) and Mr Vinayak Deshpande, MD - Tata Projects with the all-woman project execution team at Ginger Hotel site in Santacruz, Mumbai.