Asia Pacific Hospitality Newsletter - Week Ending 07 October 2022

Travelodge Hotels (Asia) to Expand Footprint in Japan by Acquiring Two Properties

Travelodge Hotels (Asia) Pte. LTD (“TLA”), a subsidiary of Singapore-based ICP Ltd, has acquired two former 2ND by hotel androoms properties from Japan-based real estate company GK Rio Grande through a joint venture with an undisclosed partner at an undisclosed sum. The former 212-key 2ND by hotel androoms Sapporo Hotel is located in the entertainment and nightlife district of Susukino, which had also one on-site food and beverage outlet. The other former 211-key 2ND by hotel androoms Nagoya Nishiki is nestled within the central business district amongst several Japanese banks and financial institutions. Both properties will be rebranded as TLA properties after the acquisition and named Travelodge Sapporo Susukino and Travelodge Nagoya Sakae respectively. The two newly acquired properties will represent TLA’s third and fourth openings in Japan.

Oreana Group Plans for an AUD250 Million Mixed-Use Development Project in Melbourne

Australia-based investment company Oreana Group (“Oreana”) is banking on a strong recovery in Melbourne's hotel sector as they log plans for an AUD250 million mixed-use development project on 169 – 177 Toorak Road alongside the South Yarra train station. The 2,480 square metres (“sqm”) site home to South Yarra Square was acquired last year by Oreana for AUD35 million. The development spans more than 30,000 sqm which includes a 116-key luxury hotel, 9,300 sqm of lettable office space, 1,400 sqm of retail spaces and a four-level basement parking. Furthermore, a day spa and wellness center with un-obstructed city views will be incorporated into the project. Oreana has reiterated that the building facades due to their unique heritage will be preserved as part of the development, as their goal is to honor the rich heritage of South Yarra. Oreana hopes the site will become an iconic South Yarra location once they open doors to hotel guests in 2024 and office tenants in 2026. 

Tropicana Corporation is Bringing a New 270-key Hotel to Langkawi

Malaysia-based Tropicana Corporation Berhad has recently announced its cooperation with US-based Marriott International to bring a new 270-key hotel to Langkawi. The hotel will be located in Tropicana Cenang, a unique mixed-use development offering residential, hotels, and commercial components with an estimated gross development value of MYR1.4 billion. Dubbed to be the Sheraton Langkawi Resort & Spa (“SLRS”), the property will offer a spa, a swimming pool and wading pool, a fitness centre, a kid’s club, and meeting spaces that span over 4,305 square feet. The SLRS will complement the existing Assana Serviced Suites, Tropicana Cenang’s latest holiday homes comprising of 831 seafront serviced suites.

 Thai Government Plans to Expand Bangkok Airports

With the recovery of tourism, Thailand will be expecting more than 10 million tourist inflows in 2022. Due to the covid-19 pandemic, airport expansion plans have been put to hold in the past two years. Targeting to become the aviation hub within the region, the Thai Government plans to elevate the country’s air travel competitiveness with airport expansion plans. The largest airport in Thailand, Suvarnabhumi Airport (“SA”), is currently constructing a satellite terminal to increase the number of gates from 51 to 79 and a third runway on the western part of the airport. A new passenger terminal with 348,000 square metres will also be starting its construction in January of 2023. The several upgrade projects will increase the capacity of SA from 45 million passengers per annum to 120 million passengers per annum. Bangkok second busiest airport, Don Mueang International Airport (“DMIA”), will be expecting a new third terminal with 12 new gates that spans over 155,000 square metre, increasing the capacity of the airport by 18 million passengers per annum.