Tokyo Hotel Average Daily Rates Beat Pre-Pandemic Numbers for Two Straight Months

STR said the reopening of Japan’s international border several months ago, along with the National Travel Support campaign, have helped boost Tokyo’s hotel average daily rate beyond pre-pandemic comparables for two straight months. The rise in room rates was preceded by improving occupancy which came in at 74.8% in December 2022 and dropped slightly to 69% in January 2023 due to seasonality. While January occupancy was 11.8% below January 2019, ADR of JPY20,055.58 beat January 2019 by 14.7%. STR said operators in Japan are cautious about achieving higher rates at the expense of occupancy and will often let occupancy growth lead before taking steps to push ADR. STR said Tokyo was well below pre-pandemic levels in top and bottom line performance for much of 2022 but there has been a clear upward trend since the fourth quarter of last year.

Nikkei reported that Japan will launch a project to encourage global hotel operators to open luxury properties in national parks as early as in 2024. This is part of their plans to get more tourists post-Covid. The government wants tourists to consider Japan as a nature destination and it is working with local municipalities and enterprises to offer such activities. One or two national parks are expected to be selected by the government who will then invite luxury hotel operators to join the program. The plan is for these operators to open small boutique hotels of up to a few dozen rooms but to charge at least tens of thousands of yen per night in each. They make it sound so easy. Currently hotel operators can open properties within designated areas in national parks with permission from the government. Marriott International already opened a hotel in a national park. Under the new plan, the government is considering allowing operators to open hotels outside the current designated areas with permission. 

Hong Kong’s Chief Executive John Lee announced the general requirement for indoor and outdoor masking has been lifted. The use of a face mask will still be mandatory at some premises with administrative functions, such as care homes for the elderly and hospitals. Macau announced the lifting of their final mask requirements last weekend.

Accor’s Fairmont Hotels & Resorts and Asset World Public Company Limited announced the signing of the first Fairmont hotel in Thailand. Fairmont Bangkok Sukhumvit is set to open in 2024 as the first project signed under AWC’s multi-property framework agreement with Accor. AWC and Accor plan to open more than 1,000 keys across multiple Accor-branded hotels in key tourist destinations throughout the country. Fairmont Bangkok Sukhumvit will have 419 rooms, a variety of specialty restaurants and bars, rooftop bar, swimming pool, fitness center, spa and wellness center. The hotel will open as the first fully integrated luxury MICE hotel in Thailand.

Accor also announced a new destination for its newest luxury brand, Emblems Collection. The Emblems Collection will open in Phu Quoc in 2025, becoming the first of the brand in Vietnam. It will be positioned on the sands of Sao Beach, overlooking the ocean close to the southern tip of Vietnam’s “Pearl Island’. The low-rise retreat is being developed by Dai Minh Phu Quoc Company Limited and will feature 122 naturally-lit guestrooms and 24 villas. There will be two restaurants, a coffee corner and live music bar. Other amenities will include a spa and bath house, yoga studio, a fully-equipped fitness center and an outdoor swimming pool and children’s pool. The event facilities and beach are supposed to be outstanding locations for events on the island.

The Nesuto brand arrived in Victoria in Australia with the opening of Nesuto Docklands in Melbourne. This is the first Victorian property for Daiwa Living Nesuto Holdings, part of the Japanese-owned Daiwa House Group. The opening of this A$100 million new build apartment hotel is the fourteenth Nesuto branded hotel operated by Daiwa Living Nesuto across Australia and New Zealand. The hotel was first announced in August 2020 and has been developed in partnership with AsheMorgan. The hotel has 211 studio, one and two bedroom apartment rooms across 13 floors with views of Melbourne port, bay, city and The District precinct. Nesuto Docklands features modern, apartment-style accommodation with each suite equipped with a full kitchen, internal laundry in one and two-bedroom apartments, living and dining areas with separate bedrooms and a gym for guests. The property is located within The District Docklands, positioned above The District’s Market Lane.

The Excelsior Hotel & Shopping Complex in Singapore is up for sale. It comprises a 5-level podium shopping center and a tower block that rises 21 stories. The property is up for sale via a public tender at a reserve price of $458 million. The tower block accommodates 284 keys with rooms ranging from 25 sqm to suites up to 75 sqm. The zoning in the Master Plan is ‘Hotel’ and its tenure is 99 years w.e.f August 17, 1979. Cushman & Wakefield was appointed lead for the sale. The tender for the property will close on April 18, 2023.

Duros Land Properties announced their first condotel and business center in northern Cebu, embodied by One Tectona. Cebu’s leading homegrown real estate developer soft-launched the premium development February 24 in Barangay Yati, Liloan in northern Cebu, Philippines. One Tectona is Liloan’s first high-rise building and premium condominium hotel. The property was designed to seamlessly integrate residential units with a business center and hotel, combining the One Tectona Residences, One Tectona Business Center and One Tectona Hotel under one roof. It has 100 rooms, a business center and residential condo units. The condo complex has restaurants, coffee shops, sports bar, clubhouse with an infinity pool, outdoor gym, spa in the woods, function halls, a yoga and meditation area, a golf academy and alfresco dining.

Della Adventure and Resorts Pvt Ltd. which owns and manages the Della Resorts and Della Adventure Park in Lonavala, India, raised Rs 208 crores in non-convertible debentures to be utilized to part-refinance debt and towards the expansion strategy of their hospitality arm. The financing was led by Nomura. Della Resorts will soon foray into increasing current inventory while transforming it into a 300 key resort.

Indian Hotels Company announced the signing of a Vivanta-branded hotel in Thane in the Mumbai Metropolitan Region. The brownfield project is expected to open by 2025. The 122 key hotel is situated at Shilphata, a comfortable driving distance from the new Navi Mumbai Airport. It is part of a mixed-use development spread over 14 acres. The hotel facilities will include the signature all-day diner Mynt, a bar, swimming pool, fitness center and banqueting space including a 400 sqm hall and meeting rooms.