Thailand’s Slow Hotel Rebound

The Nation reported hotels in Thailand expect occupancy rates to start picking up in the second half of this year. China lifting restrictions is playing a big part in that projection. The Hotel Business Operator Sentiment Study is conducted by the Thai Hotels Association and Bank of Thailand. Last month’s study showed operators expect their revenue to rise by 10%-30%. The average occupancy rate in December was 63%, up from 59% in November. Hotels in the South expect to do better than the rest of the country due to the arrival of European and American tourists. Hotels still face challenges such as rising costs, global recession and labor shortages. They are holding out hope the government will lend a helping hand, helping to cut costs, provide low-interest loans, extend repayment periods and launch more subsidies. For full year 2022, Thailand welcomed 11.81 million foreign arrivals. Their goal this year is at least 25 million foreigners, generating 2.38 trillion baht in tourism revenue.

AC Hotels by Marriott announced its brand debut in Greater China with the opening of AC Hotels by Marriott Suzhou. The 135-room hotel debuted in what is known as the “Venice of the East” in Suzhou. The hotel has 135 rooms and suites, including five garden rooms featuring a private outdoor garden. Collaborative spaces include the AC Kitchen, an all-day dining restaurant offering various buffet options, AC Lounge with an outdoor terrace, 50 square meter multi-functional space, and 24-hour fitness center.

OUE Limited and OUE Commercial REIT Management announced the reopening of the 446-room Orchard Wing at Hilton Singapore Orchard. The property is the Hilton brand’s flagship hotel in Singapore and its largest in the Asia Pacific region. The hotel underwent a 10-month renovation with the first guests for the refurbished rooms and suites entering the hotel on January 1. Hilton Singapore Orchard is now operating the full inventory of 1,080 rooms. The 634-room Mandarin Wing relaunched in February 2022. RevPAR for the quarter ended September 31, 2022 increased 10.2% q/q at $332, surpassing the previous RevPAR high of the property before its rebranding.

IHG Hotels & Resorts announced the signing of a management agreement with Satyadeo Hospitality Private Limited to convert Corbett Aamod Spa & Resort into India’s first voco hotel. The new voco Jim Corbett is scheduled to be rebranded by July 2024, adding 100 rooms to IHG’s premium portfolio in the country. The signing marks the introduction of the seventh brand from IHG’s global portfolio to the Indian market. The new voco hotel will be located in the popular leisure gateway in North India. The hotel will feature an outdoor pool, gym, spa, all day dining restaurant and a bar. There will be indoor and outdoor banqueting spaces.

Radisson Hotel Group announced the signing of two new hotels with the DS Group – Namah Resort Jim Corbett, a member of Radisson Individuals, The Manu Maharani Nainital, a member of Radisson Individuals Retreats, in Uttarakhand in India. The DS Group and Radisson first joined hands in 2014 for the Radisson Blu Hotel Guwahati. Namah Resort Jim Corbett, a member of Radisson Individuals, is expected to be operational by Q1, 2023. Guests will be able to choose from three room categories, including premium rooms, superior rooms, and suites offering views of the Kosia River. The resort will be equipped with amenities like a swimming pool, fitness center, spa, specialty restaurants, and a 6,000+ square foot banquet area. The Manu Maharani Nainital, a member of the Radisson Individuals Retreats, is expected to open in Q2 2024 after comprehensive renovations. The resort is located in the heart of Nainital and overlooks the Naini Lake and Naini Temple. It will feature facilities like a gym, spa, lounge, all-day dining facilities, and a 1,000+ square foot banquet area. 

Indian Hotels Company announced the signing of two Ginger-branded hotels in West Bengal’s Durgapur and Asansol. The 55-key Ginger Durgapur is a brownfield project while the 80-key Ginger Asansol is a greenfield, both strategically located on the Delhi-Kolkata highway. IHCL has a portfolio of 250 hotels, including 65 currently under development.

Lemon Tree Hotels signed a franchise agreement for a property in Dehradun, the capital city of Uttarakhand, under the brand ‘Keys Lite by Lemon Tree Hotels, Dehradun’. The franchised hotel has 32 rooms under the Keys Lite brand and will have meeting rooms and public areas. The hotel is located in the northern state in India, 6km away from the Dehardun Railway Station and 30km away from the Jolly Grant Airport. Lemon Tree already operates nine properties in Uttarakhand, of which three are in Dehradun. Last week Lemon Tree launched a hotel in Mukteshwar through its wholly-owned subsidiary and hotel management arm, Carnation Hotels Pvt. Ltd.

OYO Hotels’ quest for an IPO has taken another step back. The Securities and Exchange Board of India has asked Oravel Stays, the parent company of OYO, to refile the draft papers for its initial public offering with applicable updates and revisions. The offer document was returned to the company on December 30. The Financial Express said the revisions requested may include a basis for valuation, key performance indicators, risk factors and outstanding litigations. The expectation now is the IPO will be delayed at least another three months.

In Jakarta, tourism and creative economy minister Sandiago Uno said the construction of Labersa Kaldera Resort, located in The Kaldera, a tourist destination in Toba, North Sumatra Province, will be completed in July 2024. He said this at the groundbreaking of the resort development. The resort is expected to become a new tourist attraction in the region.

In New Zealand, the new owners of the Palmerston North’s old Post Office building are steaming along with plans to build a five-story hotel behind the heritage façade of the derelict central city building. Safari Group purchased the building in September and confirmed just before Christmas that a franchise agreement with Wyndham Hotels would see the development branded as a Tryp hotel. The 86-room hotel development is said to be ahead of schedule with planning speeding up so the start of construction could take place even earlier than the November 2023 target. The hotel would also include a health spa, retail opportunities, a conference and meeting room and a gym. The completed hotel complex is expected to be valued around $50 million.