Indonesia Begins State-Owned Hotel Consolidation

Key Points

• China hotel RevPAR declined 2.7% (ADR up 5.5% but occupancy down 7.7%), while Macau held strong May occupancy at 89.8% despite a 4.5% drop in total guests, with international arrivals up 16.1% offsetting weaker mainland China and Hong Kong demand.
• Indonesia's Danantara is consolidating state-owned hotels under InJourney Hospitality—45 properties in phase one and up to 120 eventually—making InJourney the country's second-largest hotel operator and opening joint-venture opportunities to domestic and international investors.
• Major brand expansion and development activity across Asia: Hyatt Place's debut in Jiaxing, Waldorf Astoria's first Malaysian property in Kuala Lumpur, Josun Palace's planned second site in Busan, and a wellness-focused mixed-use redevelopment of Seoul's former Sheraton Palace Hotel.

Summary

This Asia-Pacific hospitality roundup blends performance data with development and personnel news. STR/CoStar reported China hotel RevPAR fell 2.7% for the week ended June 20 despite an easy comp, as a 5.5% ADR gain was outweighed by a 7.7% occupancy drop, while Macau posted strong May occupancy of 89.8% (up 1.8 points) even as total guest volume slipped 4.5% on weaker mainland and Hong Kong demand, partially cushioned by a 16.1% rise in international arrivals. On the expansion front, Hyatt debuted Hyatt Place in Jiaxing's Nanhu water town, Hilton opened reservations for the Waldorf Astoria Kuala Lumpur (its luxury brand's Malaysia debut, stays from January 2027), and Indonesia's Danantara launched a sweeping consolidation of state-owned hotels under InJourney—45 properties in phase one with up to 120 ultimately, positioning InJourney as the country's second-largest operator. In South Korea, Shinsegae's Josun Palace is set for a second location in Busan's Haeundae via an MDM Group complex, and the former Sheraton Palace site in Seoul will become a mixed-use residence-hotel-wellness hub with a Catholic University medical tie-up, while Tokyo saw a boutique extended-stay opening. Personnel moves include a promotion at Monday Hotels Group and a CFO transition at SJM Holdings.