HVS Asia Pacific Hospitality Newsletter - Week Ending 15 November 2024

Grande Asset Sells Hyatt Regency Bangkok Sukhumvit for THB5.055 Billion in Thailand

Grande Asset Hotels and Property Public Company Limited (“Grande Asset”), a subsidiary of Thailand-based Property Perfect Public Company Limited (“Property Perfect”), has sold the 273-key Hyatt Regency Bangkok Sukhumvit for THB5.055 billion to an undisclosed buyer. This transaction is notable as the largest single-asset hotel sale in Thailand to date. The hotel is part of a 31-storey mixed-use development and features three dining outlets, meeting and event spaces, as well as various recreational facilities such as an outdoor swimming pool, a whirlpool, and a 24-hour gym. The property offers direct access to Nana Station on the Bangkok Mass Transit System via a sky bridge, enhancing its connectivity. It is also conveniently located 25 to 33 kilometres from both of Bangkok’s major airports, making it an attractive destination for both business and leisure travellers. 

Twenty One Whitfield Hotel Sold for HKD268 Million in Hong Kong

The 54-key Twenty One Whitfield hotel in Causeway Bay, Hong Kong, has been sold for HKD268 million to Huge Fame Limited. Hong Kong politician Bunny Chan and Paggy Chan are the registered directors of the company. This translates to approximately HKD4.96 million per key. The 32-storey hotel spans 184 square metres with a total gross floor area of 3,233 square metres. Situated an eight-minute walk from the Tin Hau train station, the property features an oyster bar at the ground floor and a garden patio at the fifth floor. The property, which fell into foreclosure in September, was sold at a 30% discount from the asking price set by the previous owner a year ago.

Eight-storey Serviced Apartment Block Sold for HKD160 Million in Hong Kong

Hong Kong-based property investor, Lai Wing To, has sold an eight-storey serviced apartment block in Wan Chai, Hong Kong for HKD160 million to an undisclosed buyer. The property located just a four-minute walk from Wan Chai train station comprises 18 serviced apartments on the upper five floors and retail spaces on the lower three. It has a total gross floor area of 1,201 square metres and has been managed by Hong Kong-based serviced apartment and co-working operator Owl Square Group since 2021 under the name Owl Square Residence @ 100 QRE, featuring studio and one-bedroom units. The transaction price translates to HKD8.89 million per apartment unit or HKD133,222 per square metre. Market sources indicate that the buyer is connected to a vehicle backed by investors, including a member of the Kuok family, which is associated with the prominent Hong Kong-based developer Kerry Properties.

Loadstar Capital Acquires Three Hotels in Japan

Japan-based Loadstar Capital K.K. (“Loadstar Capital”) has announced the acquisition of three hotels in Japan, including two properties in Tokyo and one in Kanagawa. The acquisition price is equivalent to or more than 30% of Loadstar Capital’s consolidated net assets of JPY19.3 billion for the fiscal year ending December 31, 2023 which amounts to approximately JPY5.8 billion. The identity of the seller and hotel details remains undisclosed. This acquisition follows Loadstar Capital previous purchases of six luxury resort hotels totalling 126 keys in March, along with the 137-key Hotel Livemax Shinjuku Kabukicho in May. This latest acquisition further strengthens Loadstar Capital's position in Japan’s hospitality sector as it continues to expand its hotel holdings.

Singapore’s Changi Airport Invests SGD3 Billion in Upgrades

Singapore-based Changi Airport Group (“CAG”) is set to invest SGD3 billion over the next six years to enhance services and infrastructure at Changi Airport across all four terminals. The investment aims to improve passenger experiences in anticipation of a rise in air travel leading up to the launch of Terminal 5 in the mid-2030s. As part of this initiative, airport charges will gradually increase from 2025 to 2030 to support the planned upgrades. Key areas of investment include a Skytrain system revamp to expand capacity, enhancements to baggage handling systems, increased check-in capacity, strengthened airside infrastructure to accommodate new aircraft types, new airside facilities that increases remote parking stands for aircrafts, and the expansion of immigration halls. These strategic upgrades are part of CAG's long-term vision to maintain its reputation as a leading global aviation hub, ensuring it meets future demands and enhances the overall passenger experience.