Asia Pacific Hospitality Newsletter - Week Ending 05 July 2024

Fosun has Sold Tomamu Resorts for JPY 40 Billion

Yuyuan Inc., a subsidiary of China-based Fosun International Limited (“Fosun”), has sold 99.998% of its subsidiary company, which owns three resorts in Tomamu, to Japan-based YCH16 for JPY 40 billion. The Hoshino Resorts Tomamu (“HRT”) includes three hotels: the 535-key Tomamu The Tower, the 192-key Risonare Tomamu, and the 341-key Club Med Tomamu Hokkaido. The resort also features 29 ski trails, 21 food and beverage outlets, an indoor waterpark, a farm area, the famous Unkai Terrace, and other recreational activities. In 2023, HRT achieved an occupancy rate of 75%. Fosun had acquired HRT in 2015 for JPY 18.3 billion.

Mahil Group Acquires the Ibis Budget Windsor in Brisbane, Australia

Australia-based Mahil Group has acquired the 50-key ibis Budget Windsor in Brisbane, Australia, for an undisclosed sum. The property is located on a 2,100-square-meter freehold land and is in proximity to key demand generators such as Brisbane’s central business district, RNA Showgrounds, and the Royal Brisbane and Women's Hospital. The property features an on-site dining area providing breakfast buffets, guest laundry facilities, and on-site car parking for up to 40 vehicles. This acquisition is the third venture of Mahil Group in Brisbane; their existing portfolio of Brisbane properties comprises the 47-key Pegasus Motor Inn and the 44-key Alloggio Hamilton Brisbane Airport.

HKMU Acquires Urbanwood Hung Hom Hotel for Student Housing

Hong Kong Metropolitan University ("HKMU") announced its acquisition of the newly developed 255-key Urbanwood Hung Hom hotel from the Law family through the Hong Kong-based developer Yu Tai Hing Co., Ltd. for an undisclosed sum, with plans to convert it into student accommodations. Market sources have indicated the transaction price to be approximately HKD 1 billion. The hotel is located at 84-102 Wuhu Street and is within a ten-minute walk to the Ho Man Tin and Whampoa MTR stations, and a 20-minute walk from the HKMU campus. The property consists of two adjoining 16-storey buildings, with a total gross floor area of roughly 6,170 square meters. 

Thailand to Extend THB 40 Per Room Per Year Fee Exemption for Further Two Years

The Thailand government has extended the THB 40 per room per year fee exemption for hotel operators for two years, from 1st July 2024 to 30th June 2026, to support hoteliers affected by the pandemic. The exemption is expected to save Thai hoteliers a total of 27.1 million baht per year, based on 677,493 hotel rooms. Inbound tourism has generated over THB 700 billion, with Thailand welcoming 14.8 million tourists so far this year. The government targets 36.7 million tourists by year-end.