Read the latest news from around the Asia-Pacific region.
During the company’s full-year 2022 earnings call, Accor executives spoke about the strong performance through last year and expectations for 2023, reports HNN’s Terence Baker. However, one of the big remaining questions for this year is what Chinese travelers will do now that restrictions have loosened.
“How fast and strong will be its comeback of its 150 million travelers, and where will they go? In terms of market pricing, [each destination] is not the same,” Accor Chairman and CEO Sébastien Bazin said.
During IHG Hotels & Resorts’ full-year 2022 earnings call, IHG CEO Keith Barr said global revenue per available room in 2022 was slightly down due to COVID-19 restrictions in place throughout the year, reports HNN’s Terence Baker. IHG’s hotels in Greater China in particular reported RevPAR was down 38% compared to 2019 for the whole year.
“At times of , one-third of IHG estate in Greater China was either closed or used as quarantine hotels,” he said. “That said, last Wednesday [Feb. 15], 70% occupancy in China.”
Overall, 2022 global hotel occupancy and average daily rate improved compared to 2019 for Marriott International, reports HNN’s Bryan Wroten. Hotels in every region of the world except for Greater China have more than fully recovered from the pandemic, but the company expects performance in China to improve now.
“We believe there’s still further upside for 2023, especially now that China’s borders have reopened,” Marriott President and CEO Tony Capuano said. “Guests traveling outside their home country accounted for 16% of transient room nights globally in the 2022 fourth quarter, 1 percentage point lower than 2019.”
Though COVID-19 restrictions hindered performance at the MGM Macau and MGM Cotai resort casinos in 2022, MGM Resorts International President and CEO Bill Hornbuckle said things have already started to turn around, reports HNN’s Bryan Wroten from the company’s latest earnings call.
“We are experiencing a rebound in 2023 as our guests are returning in force, just like they did in Las Vegas when restrictions were lifted here,” he said. “In fact, quarter to date, we are excited to report that MGM China’s combined properties are the highest earning businesses within our company.”
Large Indian weddings are returning to hotels in India, and hoteliers there are doing everything they can to capture that demand, writes HNN contributor Chitra Balasubramaniam.
“All Indian hotel chains are vying for a piece of this growing market, with several brands launching new marketing initiatives specifically targeted at the wedding market,” said Dhananjay Saliankar, head of sales and marketing for India at Fortune Hotels & Welcomheritage. “We have seen over 100% growth in the revenues generated in this segment compared to last financial year.
With hotel projects in the works around the world, Accor found that the Middle East and Southeast Asia were two particularly strong regions in 2022, reports HNN’s Bryan Wroten. In a video interview, Accor’s Agnès Roquefort said that while Southeast Asia was more challenged due to COVID-19 restrictions, the region has started to catch up and shows promising trends for 2023.
There’s hope that Greater China will follow this trend, said Roquefort, chief development officer luxury and lifestyle at Accor. It’s loosening of restrictions are a promising sign that it will follow similar recovery dynamics as the rest of the region.
- Australian investment company Tattarang will acquire the 200-key Waldorf Astoria Sydney, currently under development, through its subsidiary Fiveight for 3.1 billion Australian dollars ($2 billion) from Australia’s Lendlease Group and Japan’s Mitsubishi Asia.
- Japan’s Nomura Real Estate Holdings and Ken Corp. plan to build a 54-story skyscraper in Tokyo that will include 500 residential units, commercial facilities and a yet-to-be-named hotel under an international luxury brand.
- Australia’s Holdmark Property Group plans to build a 59-story mixed-use tower in the Central Business District of Sydney that will include a 200-room luxury hotel.
- China-based Huamao Group is developing a mixed-use project in Suzhou that will include a 190-key Ritz-Carlton-branded hotel as well as 270-keys through Marriott Executive Apartments.
- Japan’s Ascot Co. acquired a hotel currently under development in the Asakusa area of Tokyo’s Taito Ward.
- The Tang Shing Bor Family sold the 37-key hotel at 129-131 Temple Street, Hong Kong for 88 million Hong Kong dollars ($11.2 million).
- Hong Kong-based SIS International Holdings will acquire the 60-key Awashima Hotel in Numazu, Japan, for 800 million Japanese yen ($5.8 million).
- Australia’s GDI Property Group, GDI Property Trust and Tulla Group entered a deal to acquire the 107-key South Hedland Motel and the 135-key Lodge Motel for 27 million Australian dollars.
- Australia’s Makris Group plans to redevelop the Mirage Marina shopping center along the Gold Coast into a mixed-use project that includes a 110-key boutique hotel.
Return to the Hotel News Now home page.