In this week’s roundup of news from the Asia/Pacific region: China Lodging’s Q1 2017 call; executive developments at Rezidor; and more.
Hotel News Now each week features a news roundup from a different region of the world. Today’s review covers the Asia/Pacific region.
China Lodging launches three new brands in Q1
Shanghai-based China Lodging Group launched three midscale hotel brands during the first quarter of 2017, HNN’s Danielle Hess reports. China Lodging CEO Jenny Zhang explained the new brands during the company’s Q1 earnings call.
“(CitiGo is) and affordable luxury brand designed for young people in the city center,” she said. “We also launched the urban version of Manxin. We used this resort brand to enter into urban locations, offering a lively and colorful lifestyle choice. The third one, HanTing Plus, is an entry-level midscale brand derived from our flagship HanTing.”
The company is also continuing with its long-term plan to upgrade its flagship HanTing brand to a newer version.
Rezidor CEO changes imply HNA influence
Rezidor Hotel Group CEO Wolfgang Neumann resigned from his position but will remain as a non-executive director of the board, reports HNN’s Terence Baker. Carlson Hotels CEO Federico González Tejera is now the CEO of Rezidor, showing signs of HNA Tourism Group’s influence at Carlson Hotels.
China’s HNA has an ownership stake in NH Hotels, where González Tejera was previously chief executive, and also owns all of Carlson Hotels, which in turn owns 51.3% of Rezidor. NH Hotels’ shareholders have argued HNA’s stake in Rezidor is a conflict of interest.
STR: Asia/Pacific hotel performance for Q1 2017
The Asia/Pacific region reported positive performance for two out of three metrics, according to data from STR, parent company of HNN. Occupancy grew 3.3% to 68.3%. While average daily rate fell by 0.3% to $104, revenue per available room grew 3% to $71.04.
Indonesia’s hotel industry saw occupancy grow 4.1% year over year to 57% and ADR increase 0.2% to 1,015,410.47 Indonesian rupiahs ($76.40), leading RevPAR to grow 4.3% to 578,716.16 rupiahs ($43.55).
Malaysia’s hotels’ experienced 2.2% year-over-year growth to 65.3% and ADR grew 4.8% to 373.74 Malaysian ringgits ($86.48) which led to RevPAR jump 7.2% to 244.04 ringgits ($56.46). Maldives hotels’ saw occupancy drop by 1% to 69%, but ADR grew 2.3% to 13,044.63 Maldivian rufiyaa ($847.82) and RevPAR increased by 1.3% to 9,000.17 rufiyaa ($584.85).
Deals and developments
- Thai real estate developer Singha Estate has announced a large mixed-use project in the Maldives that will bring in the Hard Rock Hotel Group to open hotels next year.
- Viceroy Hotel Group will open its first property in Vietnam, the Viceroy Da Nang Vietnam.
- AccorHotels opened the 106-room Novotel Lucknow Gomti Nagar in Lucknow, Uttar Pradesh, India.
- Marriott International debuted its Element brand in Southeast Asia with the 252-room Element Kuala Lumpur in Malaysia.
- Shilla Hotels & Resorts opened the 305-room Shilla Stay Seocheo and a 407-room Shilla Stay Haeundae in April in South Korea.
Compiled by Bryan Wroten.