This is your one free issue for the month.

Subscribe today for full access.

North America

Vietnamese Hotel Closures and Sales Amidst Tourism Challenges

Alan Woinski and Kim Woinski

June 21st, 2023

Skift Take

  • Hotels in Vietnam, particularly in Ho Chi Minh City, are experiencing closures and are being listed for sale due to lower-than-expected visitors, revenue, and the need for capital expenditure.
  • Centara Hotels & Resorts is entering the Japanese market with the opening of Centara Grand Hotel Osaka, featuring 515 rooms, world-class dining options, and extensive meeting facilities.
  • The Philippines conglomerate Alliance Global Group plans to allocate Php4 billion for the expansion of Manila’s Newport World Resorts, part of a broader Php70 billion investment for 2023.

More reports are coming out of Vietnam about hotels closing or being put up for sale. The latest article said a Google search “for sale hotels in Ho Chi Minh City” brought up hundreds of results. The Ho Chi Minh City Department of Tourism said in District 1 there are 308 tourist establishments and about 20 have closed, suspended operations or changed owners. If the first four months of 2023, Ho Chi Minh City attracted more than 1.3 million international tourists and nearly 10.6 million domestic tourists. Their goal is to get 5 million international tourists, 35 million domestic tourists and a total tourism revenue of 160,000 billion VND this year. Hotels not only are facing lower than expected visitors and revenue, many are in need of capex. That is causing the combination of closures and record number of hotels being listed for sale. 

Movenpick Hotel Surabaya City is the result of a relaunch of a hotel in the East Java province in Indonesia, a 30 minute drive from Juanda International Airport. The hotel features 243 rooms and suites, ranging from the 33 square meter Superior Rooms to the 182 square meter Presidential Suite. There is an elevated outdoor infinity swimming pool, fully equipped fitness center and spa. There are six function spaces for meetings, the largest of which can accommodate up to 750 delegates. F&B options include an all-day restaurant and a Lobby Lounge. Movenpick Hotel Surabaya City is the second Movenpick-branded property in Indonesia, following Movenpick Resort & Spa Jimbaran Bali.

A group of 73 private owners have banded together to sell Sydney’s Potts Point Central Apartment Hotel with price expectations around $35 million. The four star hotel comprises 70 serviced apartments, averaging 23 sqm, a ground floor food and beverage outlet and a rooftop public amenity with views of Sydney’s CBD. CBRE Hotels and CBRE Capital Markets are managing the sale via an Expression of Interest Campaign closing July 13.

Centara Hotels & Resorts announced it will be opening its newest property, Centara Grand Hotel Osaka in Japan, on July 1. This marks Centara’s first foray into the Japanese market. Centara Grand Hotel Osaka is a 33 story hotel located in the heart of Namba. It includes 515 rooms and suites, a selection of world-class bars and restaurants, including rooftop venues, as well as a fully equipped fitness center, co-working spaces and the SPA Cenvaree. There also is a collection of meeting rooms, a Grand Ballroom and rooftop Sky Event space.

The Ryokan Collection announced its forty-seventh member ryokan – OTANISANSO. The property is nestled in the historical hot spring town, Nagato Yumoto Onsen in Yamaguchi is a traditional style luxury ryokan that sits by the tranquil Otozure River next to its annex and member ryokan, Otozure. OTANISANSO has 107 guest rooms. There are various restaurants, private open-air baths in Suites that have mountain or river views, communal baths and the Otozure Grand Spa with treatments using oils from British luxury spa brand ELEMIS.

Spree Hospitality, part of EaseMyTrip, announced the opening of their latest property, Spree One Resort & Convention, in Annavaram in India. Spree One Resort & Convention is the only four star resort in the vicinity, located near the Annavaram Temple. The resort includes 34 well-appointed rooms. Amenities include a multi-cuisine restaurant, state of the art banquets and recreational activities such as a swimming pool, outdoor badminton, kids play area, rain dance, amphitheater and indoor games. The Convention hall spans well over 19,000 square feet, making it an ideal venue for weddings and other special occasions.

Cygnett Hotels & Resorts announced the opening of their latest addition, Cozzet Victoria-A Cygnett Hotel Bhubaneswar. The hotel is situated in the heart of the Temple City in India. One of the standout features of the hotel is its premium MICE facility, boasting magnificent interiors, a customized catering service and a generous capacity.

Sayaji Hotels, an Indian hospitality name, announced the grand opening of its first hotel in RajasthanEnrise by Sayaji is described as a hotel that will redefine the hospitality landscape of Udaipur. The hotel is located in close proximity to Sajjangarah Fort at Jadhol Road, 45 minutes from the airport and 24 minutes from Udaipur Junction. The Enrise by Sayaji, Udaipur includes 50 rooms. The property has expansive sprawling lawns of 25,000 square feet and 45,000 square feet, a ballroom of 5,000 square feet and a multi-cuisine restaurant. The hotel includes a spa, a swimming pool and outdoor activities like horseback riding.

Philippines conglomerate Alliance Global Group said they will allocate Php4 billion (US$71.5 million) in capex this year for the ongoing expansion of Manila’s Newport World Resorts. Since ending their relationship with Genting, Alliance Global is really spreading its wings, announcing expansions into new properties and markets and capex for existing properties. Newport World Resorts, previously known as Resorts World Manila, is now operated by AGI subsidiary Travellers International Hotel Group. The allocation of Php4 billion in capex to Travellers is part of a broader Php70 billion group wide investment by AGI for 2023, up 23% from their expenditures last year.

Personnel Move

Dipti Ranjan Patnaik has been appointed as the chairman of Atmosphere Hospitality, a new entrant into the Indian hospitality scene. Atmosphere Hospitality is an affiliate of Atmosphere Core which plans to bring the Atmosphere brands to India, namely THE OZEN COLLECTION, COLOURS OF OBLU, and Atmosphere Hotels & Resorts. There are eight of these resorts in the Maldives within the three brands. Patnaik is not very well known on the hospitality scene but is very well known in India’s mining industry. He primarily operates in the steel, iron ore mining and power generation sectors. He has already made contributions to the tourism industry by setting up hotels and resorts in Bhubaneswar, Kalimpong and Kolkata. He is looking for expansion to various locations in India, Nepal and Bhutan with Atmosphere Core. Atmosphere Core and Atmosphere Hospitality will debut in India in the fourth quarter of 2024 with OZEN MANSION KOLKATA. The second hotel in the pipeline is Sadar Manzil Heritage by Atmosphere in Bhopal.

Alan Woinski and Kim Woinski

June 21st, 2023

Companies: Accor, Atmosphere Hotels and Resorts, Centara Hotels & Resorts, Cygnett Hotels & Resorts, Movenpick, Ryokan Collection, Sayaji Hotels, Spree Hospitality

Locations: Ho Chi Minh City, India, Manila, Osaka, Rajasthan, Surabaya, Sydney, Vietnam

You've Read Your Free Issue for the Month

Subscribe today to get access to 20+ new issues a month and our entire archive.

Already a subscriber? Login

North America


Per Month

Charged $495 per year.

APAC + NA Combo


Per Month

Charged $795 per year.