Accor doubles portfolio in Japan with agreement to operate 23 properties

Accor, the region’s largest international hospitality group is expanding its presence in Japan with the addition of the Daiwa Resorts portfolio, adding 23 properties and over 6,000 rooms, to its network across the country.

As Japan continues to welcome back international travel and experiences a steady recovery of the tourism industry, Accor has strategically partnered with Ebisu Resort LLC to renovate and rebrand the Daiwa portfolio into Grand Mercure and Mercure hotels, providing guests with distinctive local experiences.

Inspired by Mercury, the Roman god of travel and commerce, Grand Mercure and Mercure invite guests to immerse themselves in the cultural treasures that are unique to each destination.

Grand Mercure will make its debut in Japan offering “Proudly Local” premium hotels, inspiring guests to experience their destination through local celebrations and multi- sensory experiences crafted by local hosts. Additionally, Mercure offers locally inspired, high-quality midscale hotels that awaken people’s appetite for discovery.

Ranging in location from the northernmost prefecture of Hokkaido to the southernmost prefecture of Okinawa, the properties are located close to local hidden gems such as Cape Zanpa in Okinawa, Asuka village in Nara, Shiroi Koibito Park in Hokkaido and Senri Beach in Wakayama. Each property offers a range of guestrooms, restaurants and wellness facilities such as onsen (hot springs), saunas and swimming pools, with select hotels also offering stunning views of the local landscape.

We are excited to be adding these great hotels to our portfolio in Japan, especially as the desire to connect with nature is increasingly in demand amongst travellers today. This agreement will offer our loyal guests just that, with their location in charming coastal towns, proximity to nature and authentic local experiences. Popular destinations such as Tokyo, Osaka and Kyoto will always remain in high demand, however if you want to immerse yourself in the real authentic culture of a country, sometimes you need to escape the big cities and head off the beaten path. We will continue to build on the relationships that Daiwa Resort has successfully maintained within each region, and work closely with our partners, Japan Hotel Reit Advisors, Daiwa Resort's asset manager, to revitalize these properties and welcome guests back by Q2 2024. Garth Simmons, Chief Executive Officer, Premium, Midscale and Economy Division for Accor in Asia

We would like to express our sincere gratitude to everyone who has supported Daiwa Resorts until now. 23 of our hotels located in scenic spots across Japan, from Hokkaido to Okinawa, will be rebranded as Grand Mercure and Mercure hotels. By rebranding, we will be able to provide our customers with various allures and memorable travel memories. In the future, we promise that guests will be able to enjoy a comfortable stay with activities that incorporate local cuisine, local attractions and relaxing hot springs while making the most of the unique characteristics of each hotel. We would like to work together with the local community more than ever before and share the appeal of each region not only within Japan but also around the world. Koji Mayanagi, Daiwa Resort Co., Ltd. President & CEO

Daiwa Resort hotels to be converted into Grand Mercure hotels

• Royal Hotel Okinawa Zanpamisaki
• Royal Hotel Nasu
• Royal Hotel Yatsugatake
• The Hamanako
• The Kashihara
• Royton Sapporo
• Hotel & Resorts Beppuwan
• Hotel & Resorts Minamiawaji
• Hotel & Resorts Ise-shima
• Hotel & Resorts Nagahama
• Hotel & Resorts Minamiboso
• Hotel & Resorts Wakayama-Minabe

Daiwa Resort hotels to be converted into Mercure hotels

• Hotel & Resorts Kyoto-Miyazu
• Hotel & Resorts Saga-Karatsu
• Hotel & Resorts Wakayama-Kushimoto
• Royal Hotel Nagano
• Hotel Toyama Tonami
• Royal Hotel Tosa
• Royal Hotel Daisen
• Royal Hotel Noto
• Royal Hotel Munakata
• Active Resorts Miyagi Zao
• Active Resorts Urabandai

Renovations of the properties will begin from Q4 2023 and are expected to be completed by Q2 2024, after which the properties will operate under the Grand Mercure and Mercure brands.

Accor currently operates 21 properties (5,085 keys) in Japan, under several brands including Pullman, Swissôtel, Mercure, Novotel, ibis, ibis Styles and ibis Budget. In addition to the hotels signed within this agreement, there are five more properties (1,147 keys) currently in Accor’s pipeline.