A subsidiary of Grand Line Int'l has paid over $200m for hotel: sources
(SINGAPORE) Ibis Singapore on Bencoolen, a three-star hotel that opened last year, has been sold for more than $200 million to a Singaporean buyer.
Hospitality group Accor and real estate investor LaSalle Investment Management said in a statement yesterday that they have sold the 538-room hotel. The partners did not disclose the sale price or the identity of the purchaser due to confidentiality obligations.
But sources told BT that a subsidiary of Singapore-based Grand Line International has paid more than $200 million for the property.
According to past reports, Accor and LaSalle put in $145 million to develop the hotel at Bencoolen Street after winning the tender for the site in 2006 in a 30:70 venture. The hotel opened in February 2009.
Accor, which owns the Ibis brand, will continue to manage the hotel under a long-term management contract.
'The sale of the hotel is in line with Accor's 'asset right' strategy where the value of the property is being realised with Accor continuing to manage the hotel with the Ibis brand, under a long-term management contract,' said Michael Issenberg, chairman and chief operating officer of Accor Asia Pacific.
Accor and LaSalle put up Ibis Singapore for sale through a private tender that began in May. The owners decided to formally offer the hotel for sale after receiving a number of unsolicited offers from investors.
Ibis Singapore now enjoys occupancies in the mid-90 per cent range and an average room rate of about $140, LaSalle said. In addition to the comprising 538 guest rooms, the property also has two retail outlets, two food and beverage outlets and 68 carpark lots.
'Singapore lacked quality inventory of economy hotel rooms, despite strong inbound demand from value-conscious travellers in Asia. Although around 80 per cent of travellers fly economy class, some 90 per cent of hotels rooms in Singapore were business or first class, so there was a clear market mismatch which we capitalised on,' said Andrew Heithersay, international director at LaSalle Investment Management.
Ibis Singapore is Grand Line International's first hotel asset in Singapore. BT understands that the company, which used to be in the shipping business, owns some properties in Australia.
Source: Business Times, 3 Aug 2010
Showing posts with label Hotels. Show all posts
Showing posts with label Hotels. Show all posts
Tuesday, August 3, 2010
Ibis Singapore on Bencoolen sold to private investor
IBIS Singapore on Bencoolen, a three-star hotel, has been sold just 18 months after it opened its doors.
Details were not disclosed but it is understood a Singapore private investor paid a figure above $200 million for it.
The hotel was put up for sale via a private tender in June by joint owners LaSalle Investment Management and French hotel group Accor.
They announced the sale yesterday, but did not disclose the price or purchaser 'due to confidentiality obligations'.
It is the largest Ibis outside Europe, with 538 rooms, two retail outlets, 68 parking spaces, and two food and beverage outlets. The hotel will continue to be managed by Accor under a long-term management contract for its economy brand Ibis.
LaSalle's international director, Mr Andrew Heithersay, said the hotel's occupancy rate is in the 'mid 90 per cent range' and the average room rate is about $140.
An industry expert, Mr David Ling, HVS Asia Pacific managing director, said: 'The room rate is higher than that for the usual economy hotels here. It is the first economy hotel of international standard here and has a contemporary design, so the transacted price would reflect the stronger income position. Generally, international-grade hotels here are expected to trade at a 6 per cent to 7 per cent yield,' he said.
The hotel sale was brokered by Jones Lang LaSalle Hotels. Its managing director of investment sales in Asia, Mr Michael Batchelor, said he could not disclose the buyer's identity but that there was interest not only from Singapore investors but also from groups in Indonesia, Malaysia, Hong Kong and Thailand.
'In 2009, many industry observers felt the market was going to go though a challenging period with the large amount of supply and dwindling arrivals,' he said. 'The complete opposite has happened 12 months on... Singapore is now one of the strongest markets in Asia.'
He said most hotels here are running at 90 per cent occupancy even after 6,000 rooms were added in the past year.
'Around the region, we are seeing a renewed interest in hotels... With hotel profitability returning, hotel values are expected to rise in the future.'
The hotel was 70 per cent-owned by LaSalle via its LaSalle Asia Opportunity Fund II and 30 per cent by Accor.
Source: Straits Times, 3 Aug 2010
Details were not disclosed but it is understood a Singapore private investor paid a figure above $200 million for it.
The hotel was put up for sale via a private tender in June by joint owners LaSalle Investment Management and French hotel group Accor.
They announced the sale yesterday, but did not disclose the price or purchaser 'due to confidentiality obligations'.
It is the largest Ibis outside Europe, with 538 rooms, two retail outlets, 68 parking spaces, and two food and beverage outlets. The hotel will continue to be managed by Accor under a long-term management contract for its economy brand Ibis.
LaSalle's international director, Mr Andrew Heithersay, said the hotel's occupancy rate is in the 'mid 90 per cent range' and the average room rate is about $140.
An industry expert, Mr David Ling, HVS Asia Pacific managing director, said: 'The room rate is higher than that for the usual economy hotels here. It is the first economy hotel of international standard here and has a contemporary design, so the transacted price would reflect the stronger income position. Generally, international-grade hotels here are expected to trade at a 6 per cent to 7 per cent yield,' he said.
The hotel sale was brokered by Jones Lang LaSalle Hotels. Its managing director of investment sales in Asia, Mr Michael Batchelor, said he could not disclose the buyer's identity but that there was interest not only from Singapore investors but also from groups in Indonesia, Malaysia, Hong Kong and Thailand.
'In 2009, many industry observers felt the market was going to go though a challenging period with the large amount of supply and dwindling arrivals,' he said. 'The complete opposite has happened 12 months on... Singapore is now one of the strongest markets in Asia.'
He said most hotels here are running at 90 per cent occupancy even after 6,000 rooms were added in the past year.
'Around the region, we are seeing a renewed interest in hotels... With hotel profitability returning, hotel values are expected to rise in the future.'
The hotel was 70 per cent-owned by LaSalle via its LaSalle Asia Opportunity Fund II and 30 per cent by Accor.
Source: Straits Times, 3 Aug 2010
Monday, August 2, 2010
Ascott unveils its expansion plans
Group to expand its portfolio by over 50% in next five yrs
CAPITALAND'S service residence arm, The Ascott Limited, is expanding its portfolio by more than 50 per cent in the next five years.
The division hopes to contribute more significantly to CapitaLand as it grows - perhaps accounting for as much as 20 per cent of group earnings in future.
Ascott chief executive Lim Ming Yan shared these plans for 'transformational change' with the media, in conjunction with the launch of the group's project - Ascott Huai Hai Road Shanghai. The 278-unit property near the Xintiandi entertainment district is owned by Hong Kong-listed real estate group Lai Fung Holdings.
Ascott now has some 26,000 service residence apartments in its portfolio and it aims to raise this number to 40,000 by 2015.
The target is achievable looking at Ascott's rate of growth, Mr Lim said. This year, the firm will be rolling out about 3,100 apartments. Of these, some 1,600 units across seven properties will be ready in the second half, in countries such as China and Indonesia.
Much of the envisioned growth will come from China. Ascott has just won contracts to manage four Ascott-branded properties in Ningbo, Hangzhou, Suzhou and Guangzhou. The biggest among these will be Ascott Guangzhou IFC, with 314 units, due to open next year.
South-east Asia is likely to be the next fastest growing market for Ascott. For instance, Mr Lim is positive about Singapore's service apartment sector as the country develops as a regional business centre.
Occupancy rates for Ascott's properties in Singapore exceed 90 per cent, and 'we are constantly on the lookout for new opportunities', he said.
India and Europe are also on Ascott's radar. It could enter Italy, Switzerland, Turkey and the east European countries.
While merely taking on more management contracts is a fast way to grow, Ascott will continue to focus more on buying and running properties.
It owns and manages about 67 per cent of its portfolio, and is prepared to invest in key gateway cities, Mr Lim said.
Ascott could obtain capital for growth from private equity funds, such as the Ascott China Fund. It could also sell assets to Ascott Residence Trust for funds to re-invest.
Mr Lim did not say how much the entire portfolio expansion would cost.
But he disclosed that Ascott will invest $50 million to refurbish more than 10 of its properties in Asia and Europe over the next 12 months. This is on top of around $20 million it has put in to renovate some properties such as Somerset Liang Court.
As Ascott grows, it 'can and should be a significant part of CapitaLand', Mr Lim said. On average, it has accounted for some 10 per cent of the group's earnings in the last few years, but it would be possible and 'more meaningful' to raise this to up to 20 per cent, he added.
Source: Business Times, 2 Aug 2010
CAPITALAND'S service residence arm, The Ascott Limited, is expanding its portfolio by more than 50 per cent in the next five years.
The division hopes to contribute more significantly to CapitaLand as it grows - perhaps accounting for as much as 20 per cent of group earnings in future.
Ascott chief executive Lim Ming Yan shared these plans for 'transformational change' with the media, in conjunction with the launch of the group's project - Ascott Huai Hai Road Shanghai. The 278-unit property near the Xintiandi entertainment district is owned by Hong Kong-listed real estate group Lai Fung Holdings.
Ascott now has some 26,000 service residence apartments in its portfolio and it aims to raise this number to 40,000 by 2015.
The target is achievable looking at Ascott's rate of growth, Mr Lim said. This year, the firm will be rolling out about 3,100 apartments. Of these, some 1,600 units across seven properties will be ready in the second half, in countries such as China and Indonesia.
Much of the envisioned growth will come from China. Ascott has just won contracts to manage four Ascott-branded properties in Ningbo, Hangzhou, Suzhou and Guangzhou. The biggest among these will be Ascott Guangzhou IFC, with 314 units, due to open next year.
South-east Asia is likely to be the next fastest growing market for Ascott. For instance, Mr Lim is positive about Singapore's service apartment sector as the country develops as a regional business centre.
Occupancy rates for Ascott's properties in Singapore exceed 90 per cent, and 'we are constantly on the lookout for new opportunities', he said.
India and Europe are also on Ascott's radar. It could enter Italy, Switzerland, Turkey and the east European countries.
While merely taking on more management contracts is a fast way to grow, Ascott will continue to focus more on buying and running properties.
It owns and manages about 67 per cent of its portfolio, and is prepared to invest in key gateway cities, Mr Lim said.
Ascott could obtain capital for growth from private equity funds, such as the Ascott China Fund. It could also sell assets to Ascott Residence Trust for funds to re-invest.
Mr Lim did not say how much the entire portfolio expansion would cost.
But he disclosed that Ascott will invest $50 million to refurbish more than 10 of its properties in Asia and Europe over the next 12 months. This is on top of around $20 million it has put in to renovate some properties such as Somerset Liang Court.
As Ascott grows, it 'can and should be a significant part of CapitaLand', Mr Lim said. On average, it has accounted for some 10 per cent of the group's earnings in the last few years, but it would be possible and 'more meaningful' to raise this to up to 20 per cent, he added.
Source: Business Times, 2 Aug 2010
Thursday, July 22, 2010
Firm linked to GIC investing in hotel fund
Pacifica Partners may gain up to 36% stake in fund set up by Accor and InterGlobe
(SINGAPORE) Pacifica Partners, a hotel investment firm linked to the Government of Singapore Investment Corp (GIC), will buy a stake in a hotel fund with assets valued at US$325 million.
Pacifica Partners' equity interest could go up to 36 per cent, subject to regulatory approvals.
The hotel fund is being set up by hospitality group Accor and travel corporation InterGlobe Enterprises, each of which will hold a 32 per cent equity stake. The fund's portfolio will comprise seven hotels with a total of 1,750 rooms in the Indian cities of Delhi, Bangalore and Chennai. These are at various stages of construction and will open their doors from next year to 2013.
Accor will manage the hotels under its brands. They include Novotel Delhi International Airport (400 rooms), Pullman Delhi International Airport (270 rooms), Novotel Bangalore Outer Ring Road (220 rooms) and Ibis Bangalore Outer Ring Road (330 rooms). The fund may acquire more assets down the track, and will focus on the upper mid-end and high-end hotel segments.
'The investment of Pacifica in this fund provides a platform for further growth in the strategic market of India where Accor and InterGlobe have already created an extensive development pipeline,' said Accor chairman and CEO Gilles Pelisson.
Accor, joining hands with InterGlobe, has been in India for five years and has opened eight hotels. Another 43 will be coming up in the country.
'India, at this time, is one of the most attractive lodging growth opportunities in the world,' said Pacifica Partners managing director Peter Meyer. The firm 'views this fund as an excellent vehicle to take advantage of this compelling market by teaming up with Accor and InterGlobe'.
Pacifica Partners is a joint venture between GIC and Host Hotels & Resorts. The latter owns luxury and high-end hotels worldwide, under brands such as Marriott and Ritz-Carlton, and is listed on the New York Stock Exchange.
The tie-up will seek investments in the Asia-Pacific, either existing hotels and resorts, or development projects
Source: Business Times, 22 Jul 2010
(SINGAPORE) Pacifica Partners, a hotel investment firm linked to the Government of Singapore Investment Corp (GIC), will buy a stake in a hotel fund with assets valued at US$325 million.
Pacifica Partners' equity interest could go up to 36 per cent, subject to regulatory approvals.
The hotel fund is being set up by hospitality group Accor and travel corporation InterGlobe Enterprises, each of which will hold a 32 per cent equity stake. The fund's portfolio will comprise seven hotels with a total of 1,750 rooms in the Indian cities of Delhi, Bangalore and Chennai. These are at various stages of construction and will open their doors from next year to 2013.
Accor will manage the hotels under its brands. They include Novotel Delhi International Airport (400 rooms), Pullman Delhi International Airport (270 rooms), Novotel Bangalore Outer Ring Road (220 rooms) and Ibis Bangalore Outer Ring Road (330 rooms). The fund may acquire more assets down the track, and will focus on the upper mid-end and high-end hotel segments.
'The investment of Pacifica in this fund provides a platform for further growth in the strategic market of India where Accor and InterGlobe have already created an extensive development pipeline,' said Accor chairman and CEO Gilles Pelisson.
Accor, joining hands with InterGlobe, has been in India for five years and has opened eight hotels. Another 43 will be coming up in the country.
'India, at this time, is one of the most attractive lodging growth opportunities in the world,' said Pacifica Partners managing director Peter Meyer. The firm 'views this fund as an excellent vehicle to take advantage of this compelling market by teaming up with Accor and InterGlobe'.
Pacifica Partners is a joint venture between GIC and Host Hotels & Resorts. The latter owns luxury and high-end hotels worldwide, under brands such as Marriott and Ritz-Carlton, and is listed on the New York Stock Exchange.
The tie-up will seek investments in the Asia-Pacific, either existing hotels and resorts, or development projects
Source: Business Times, 22 Jul 2010
Saturday, July 17, 2010
W Bali-Seminyak Residences launched in S'pore
W Hotels Worldwide and Indonesian company Dua Cahaya Anugrah (DCA) launched The Residences at W Bali-Seminyak yesterday at St Regis Hotel Singapore.
The 79-unit villa-style development is next to the 158-room W Bali Hotel.
The 79 units consist of 65 one-bedroom units of 2,422 to 3,068 sq ft, 10 two-bedroom units of 3,789 sq ft and four three-bedroom villas of 6,708 to 7,669 sq ft.
Prices range between US$605 and US$800 per sq ft - which equates to about US$1.5 million for the most affordable villa.
According to a DCA spokesperson, this is about a 5 to 10 per cent premium to other projects around Seminyak.
The development is freehold for Indonesian citizens and leasehold for foreigners, based on the current ownership laws in Indonesia. DCA lawyers are available to advise foreigners on the types of ownership available to foreigners.
The project, which was launched in Indonesia about three months ago, is almost 60 per cent sold. Most of the buyers are the Indonesians. Reportedly, three one-bedroom villas have already been sold to Singaporeans.
A catch is the concept of ownership - the villas will form part of W Hotel's rental pool and will be looked after by the hotel's management team for 48 weeks of the year. The villa owners will be allocated exclusive access to their property for four weeks a year.
At a news conference yesterday, DCA said owners can expect an internal rate of return in excess of 5 per cent from their property's rental income.
The development was designed by SCDA Architects, which has done numerous high-end developments in Singapore.
There will be a public viewing at St Regis Hotel over the weekend, from 10am to 7pm.
W Hotel Worldwide is a brand in the Starwood stable, which includes St Regis, Sheraton, Le Meridien and Westin.
The brand was started in 1998 with the opening of W New York. Since then it has expanded rapidly. Currently, Starwood is the only hotel chain with a dedicated 'residential' team that helps developers with projects.
In Singapore, City Developments has launched W Residences on Sentosa. In May, two units were sold at a median price of $2,800 psf.
Source: Business Times, 17 Jul 2010
The 79-unit villa-style development is next to the 158-room W Bali Hotel.
The 79 units consist of 65 one-bedroom units of 2,422 to 3,068 sq ft, 10 two-bedroom units of 3,789 sq ft and four three-bedroom villas of 6,708 to 7,669 sq ft.
Prices range between US$605 and US$800 per sq ft - which equates to about US$1.5 million for the most affordable villa.
According to a DCA spokesperson, this is about a 5 to 10 per cent premium to other projects around Seminyak.
The development is freehold for Indonesian citizens and leasehold for foreigners, based on the current ownership laws in Indonesia. DCA lawyers are available to advise foreigners on the types of ownership available to foreigners.
The project, which was launched in Indonesia about three months ago, is almost 60 per cent sold. Most of the buyers are the Indonesians. Reportedly, three one-bedroom villas have already been sold to Singaporeans.
A catch is the concept of ownership - the villas will form part of W Hotel's rental pool and will be looked after by the hotel's management team for 48 weeks of the year. The villa owners will be allocated exclusive access to their property for four weeks a year.
At a news conference yesterday, DCA said owners can expect an internal rate of return in excess of 5 per cent from their property's rental income.
The development was designed by SCDA Architects, which has done numerous high-end developments in Singapore.
There will be a public viewing at St Regis Hotel over the weekend, from 10am to 7pm.
W Hotel Worldwide is a brand in the Starwood stable, which includes St Regis, Sheraton, Le Meridien and Westin.
The brand was started in 1998 with the opening of W New York. Since then it has expanded rapidly. Currently, Starwood is the only hotel chain with a dedicated 'residential' team that helps developers with projects.
In Singapore, City Developments has launched W Residences on Sentosa. In May, two units were sold at a median price of $2,800 psf.
Source: Business Times, 17 Jul 2010
Home-hotel project coming up in Outram
Other projects include Hong Leong's launch of The Scala in Serangoon
A NEW development is about to inject some freshness to the historic area of Chinatown. The Tang Group of Companies will be building Dorsett Regency Hotel and Dorsett Residences at a 99-year hotel site at New Bridge Road.
Agents have started gathering interest for the 68-unit Dorsett Residences, and they say it could be previewed at the end of this month. The six-storey project will have one, two and two-plus-one bedroom units, starting from 484 sq ft in size. Prices are said to be in the region of $1,700-$1,900 psf.
According to agents, residents will be able to tap on concierge services from Dorsett Regency Hotel next door.
Tang Group's website provides more details. It says the 10-storey hotel will have 285 rooms, a swimming pool and a landscape deck. The entire hotel-residential development will have a direct link to Outram Park MRT station.
Tang Group is headed by Dennis Chiu, of the Chiu family that used to run the former Tang Dynasty City in Jurong.
The firm bagged the hotel site through a state tender which closed in September last year. Zoning guidelines allow developers to set aside as much as 40 per cent of a hotel site's total floor area for commercial and residential uses.
Cushman & Wakefield managing director Donald Han believes that Dorsett Residences should be popular, given its location. He suggests that medical tourists who frequent Singapore General Hospital nearby may consider buying units for their own occupation when they are in town.
He adds that for developers, hotels are a longer term investment compared with homes. Developers would be able to recover some capital more quickly by incorporating and selling residences in hotel sites.
Another residential project that is coming up is The Scala. Hong Leong Holdings plans to launch the 99-year leasehold 468-unit development at Serangoon Avenue 3 at the end of the month.
There will be one to four-bedders, ranging from 474 to 2142 sq ft in size. Hong Leong has yet to determine the number of units and prices for the launch. Based on caveats lodged, units at Chiltern Park nearby were sold at $735-761 psf in May.
'The Scala was designed with the family in mind,' said Hong Leong's sales and marketing head Betsy Chng. The project will have seven pavillions, providing facilities such as a wood-fired pizza oven for residents.
Over at Cairnhill Road, private previews of CapitaLand's Urban Resort Condominium have started since May. According to Urban Redevelopment Authority data, 12 units have been sold. Of these, four units changed hands in June at a median price of $2,733 psf.
Source: Business Times, 17 Jul 2010
A NEW development is about to inject some freshness to the historic area of Chinatown. The Tang Group of Companies will be building Dorsett Regency Hotel and Dorsett Residences at a 99-year hotel site at New Bridge Road.
Agents have started gathering interest for the 68-unit Dorsett Residences, and they say it could be previewed at the end of this month. The six-storey project will have one, two and two-plus-one bedroom units, starting from 484 sq ft in size. Prices are said to be in the region of $1,700-$1,900 psf.
According to agents, residents will be able to tap on concierge services from Dorsett Regency Hotel next door.
Tang Group's website provides more details. It says the 10-storey hotel will have 285 rooms, a swimming pool and a landscape deck. The entire hotel-residential development will have a direct link to Outram Park MRT station.
Tang Group is headed by Dennis Chiu, of the Chiu family that used to run the former Tang Dynasty City in Jurong.
The firm bagged the hotel site through a state tender which closed in September last year. Zoning guidelines allow developers to set aside as much as 40 per cent of a hotel site's total floor area for commercial and residential uses.
Cushman & Wakefield managing director Donald Han believes that Dorsett Residences should be popular, given its location. He suggests that medical tourists who frequent Singapore General Hospital nearby may consider buying units for their own occupation when they are in town.
He adds that for developers, hotels are a longer term investment compared with homes. Developers would be able to recover some capital more quickly by incorporating and selling residences in hotel sites.
Another residential project that is coming up is The Scala. Hong Leong Holdings plans to launch the 99-year leasehold 468-unit development at Serangoon Avenue 3 at the end of the month.
There will be one to four-bedders, ranging from 474 to 2142 sq ft in size. Hong Leong has yet to determine the number of units and prices for the launch. Based on caveats lodged, units at Chiltern Park nearby were sold at $735-761 psf in May.
'The Scala was designed with the family in mind,' said Hong Leong's sales and marketing head Betsy Chng. The project will have seven pavillions, providing facilities such as a wood-fired pizza oven for residents.
Over at Cairnhill Road, private previews of CapitaLand's Urban Resort Condominium have started since May. According to Urban Redevelopment Authority data, 12 units have been sold. Of these, four units changed hands in June at a median price of $2,733 psf.
Source: Business Times, 17 Jul 2010
New Phoenix emerging on Orchard Road
Plans for former Specialists' Shopping Centre and Hotel Phoenix site include 500 hotel rooms, 224,000 sq ft of retail space
A NEW shopping and hotel destination is set to take the Orchard shopping belt by storm in 2013. On offer are 500 hotel rooms and about 224,000 sq ft of retail space, as well as two open plazas for busking and artist performances.
This is the plan unveiled by United Engineers Ltd during the groundbreaking ceremony yesterday for the site that previously housed the Specialists' Shopping Centre and Hotel Phoenix complex - which has a gross floor area (GFA) of 538,196 sq ft. The development is designed by internationally-renowned architectural firm Tange Associates.
The property group was appointed by OCBC to build the shopping cum hotel destination in June through an arrangement that allows OCBC to retain ownership of the prime Orchard Road property after the redevelopment is complete.
Directly opposite this refurbished shopping and lifestyle destination is the 218 Orchard Road site (previously the home of Orchard Emerald). Like its sister sitting on the other side of the road, the site, which occupies a GFA of 104,410 sq ft, will be developed into an 11-storey building with two basement floors. About 37,674 sq ft of space will be devoted to offices, while 29,063 sq ft will be retail space. The site will be developed by OCBC's insurance subsidiary Great Eastern Life, and UEL will act as project manager.
To provide a seamless way for pedestrians to make their way to and from the two destinations and to the Somerset train station, a glass pedestrian bridge linking the development to the property sitting opposite - formerly Orchard Emerald - is also in the works by UEL. It will also be constructing an underpass that will help to link the hotel cum retail property to the Orchard Emerald site. The redevelopment of the Specialists' Shopping Centre site, along with the construction of the glass bridge and underpass, is slated for completion in the second quarter of 2013.
OCBC said that the total development costs for both properties is about $700 million, with about $150 million to be spent on the old Orchard Emerald site.
Said Jackson Yap, group managing director and chief executive of UEL on the former Specialists' Centre development: 'Its unique architecture that straddles both sides of Orchard Road, and with the glass overhead bridge, will offer a new postcard view of Orchard Road.
'With the glass overhead bridge, the Orchard Road Christmas Light-up will also have new decorative possibilities. We strive to create a new focal point in Orchard Road that will be buzzing with activity and excitement.'
Source: Business Times, 17 Jul 2010
A NEW shopping and hotel destination is set to take the Orchard shopping belt by storm in 2013. On offer are 500 hotel rooms and about 224,000 sq ft of retail space, as well as two open plazas for busking and artist performances.
This is the plan unveiled by United Engineers Ltd during the groundbreaking ceremony yesterday for the site that previously housed the Specialists' Shopping Centre and Hotel Phoenix complex - which has a gross floor area (GFA) of 538,196 sq ft. The development is designed by internationally-renowned architectural firm Tange Associates.
The property group was appointed by OCBC to build the shopping cum hotel destination in June through an arrangement that allows OCBC to retain ownership of the prime Orchard Road property after the redevelopment is complete.
Directly opposite this refurbished shopping and lifestyle destination is the 218 Orchard Road site (previously the home of Orchard Emerald). Like its sister sitting on the other side of the road, the site, which occupies a GFA of 104,410 sq ft, will be developed into an 11-storey building with two basement floors. About 37,674 sq ft of space will be devoted to offices, while 29,063 sq ft will be retail space. The site will be developed by OCBC's insurance subsidiary Great Eastern Life, and UEL will act as project manager.
To provide a seamless way for pedestrians to make their way to and from the two destinations and to the Somerset train station, a glass pedestrian bridge linking the development to the property sitting opposite - formerly Orchard Emerald - is also in the works by UEL. It will also be constructing an underpass that will help to link the hotel cum retail property to the Orchard Emerald site. The redevelopment of the Specialists' Shopping Centre site, along with the construction of the glass bridge and underpass, is slated for completion in the second quarter of 2013.
OCBC said that the total development costs for both properties is about $700 million, with about $150 million to be spent on the old Orchard Emerald site.
Said Jackson Yap, group managing director and chief executive of UEL on the former Specialists' Centre development: 'Its unique architecture that straddles both sides of Orchard Road, and with the glass overhead bridge, will offer a new postcard view of Orchard Road.
'With the glass overhead bridge, the Orchard Road Christmas Light-up will also have new decorative possibilities. We strive to create a new focal point in Orchard Road that will be buzzing with activity and excitement.'
Source: Business Times, 17 Jul 2010
Wednesday, July 7, 2010
Hotel Grand Central buys hotel at Surfers Paradise for A$47m
SINGAPORE-listed Hotel Grand Central has signed conditional agreements to buy an Australian hotel and its business for A$47 million (S$55.1 million).
The price for the Courtyard by Marriott Surfers Paradise, Queensland, works out to about A$116,000 per room. The freehold four-star hotel, which has 405 rooms, is located at the corner of Surfers Paradise Boulevard and Hanlan Street, Surfers Paradise. It forms part of Centro Surfers Paradise - the largest shopping centre in the district.
'A comprehensive review of the hotel will be undertaken with a view to re-branding the property as Hotel Grand Chancellor, Surfers Paradise, upon settlement,' Hotel Grand Central said yesterday in a statutory filing with Singapore Exchange.
The 31-storey hotel, which has a restaurant and two bars, five conference and meeting rooms, a gymnasium and pool, is being sold by Marriott Vacation Club, BT understands.
Jones Lang LaSalle Hotels brokered the transaction.
Hotel Grand Central said the purchase is subject to it being satisfied that the property is suitable for its requirements, following due diligence.
The acquisition, when completed, will expand the group's portfolio of Australian hotels to eight. It already has properties in Brisbane, Adelaide, Melbourne and Tasmania.
Hotel Grand Central also owns four hotels in New Zealand and two in Singapore, at Kramat Lane in the Orchard Road area and Belilios Road in Little India.
It said that had the acquisition of Courtyard by Marriott Surfers Paradise taken place at the start of the financial year ended Dec 31, 2009, its earnings per share for the year would have been 7.64 cents, up from 7.47 cents pre-acquisition.
Source: Business Times, 7 Jul 2010
The price for the Courtyard by Marriott Surfers Paradise, Queensland, works out to about A$116,000 per room. The freehold four-star hotel, which has 405 rooms, is located at the corner of Surfers Paradise Boulevard and Hanlan Street, Surfers Paradise. It forms part of Centro Surfers Paradise - the largest shopping centre in the district.
'A comprehensive review of the hotel will be undertaken with a view to re-branding the property as Hotel Grand Chancellor, Surfers Paradise, upon settlement,' Hotel Grand Central said yesterday in a statutory filing with Singapore Exchange.
The 31-storey hotel, which has a restaurant and two bars, five conference and meeting rooms, a gymnasium and pool, is being sold by Marriott Vacation Club, BT understands.
Jones Lang LaSalle Hotels brokered the transaction.
Hotel Grand Central said the purchase is subject to it being satisfied that the property is suitable for its requirements, following due diligence.
The acquisition, when completed, will expand the group's portfolio of Australian hotels to eight. It already has properties in Brisbane, Adelaide, Melbourne and Tasmania.
Hotel Grand Central also owns four hotels in New Zealand and two in Singapore, at Kramat Lane in the Orchard Road area and Belilios Road in Little India.
It said that had the acquisition of Courtyard by Marriott Surfers Paradise taken place at the start of the financial year ended Dec 31, 2009, its earnings per share for the year would have been 7.64 cents, up from 7.47 cents pre-acquisition.
Source: Business Times, 7 Jul 2010
Tuesday, June 29, 2010
StayWell brings Australia hotel brands to Singapore
Park Regis hotel opening in Sept; Leisure Inn plans on drawing board
AUSTRALIA-BASED StayWell Hospitality Group is looking to stamp its Park Regis and Leisure Inn brands on more properties in Singapore and the rest of Asia.
The first Park Regis hotel here is set to open in September, and the group also has the country's first Leisure Inn hotel on the drawing board.
StayWell may be rather new to Singapore, but it is not venturing unassisted. The group's chairman is Asok Kumar Hiranandani, who built up property firm Royal Brothers with his brother, Raj Kumar.
Park Regis Investments - in which Mr Asok Kumar Hiranandani is a shareholder - won the bid for a piece of state land at Merchant Road in 2007. It has invested around $175 million in total to build the 203-room four-star Park Regis Singapore, as well as a seven-storey office block, on the site.
The hotel is targeting business travellers and room rates could start in the range of $200. StayWell is expecting an occupancy rate of 70-80 per cent. Talks to lease the office space out are underway.
The hotel will be a 'stunning investment' in the next few years, Mr Hiranandani told The Business Times. His confidence stems from the hotel's location near Clarke Quay and from the opening of the two integrated resorts.
To stand out from the competition, Park Regis Singapore will incorporate 'bits of Singaporean and Australian flavours', said StayWell CEO and managing director Simon Wan. For a start, it has picked an Australian, Jason Dowd, as the hotel's general manager.
'We will make sure that from the composition of the food, the composition of the wine, the television channels in the room to the staff uniforms, there will be some Australian flavour complemented by local themes,' Mr Wan said.
There are generally few good hotels up for sale in Singapore, so those on the market tend to generate interest among investors and observers. According to Mr Hiranandani, Park Regis Singapore has already attracted investors' interest.
'If someone gives us a management contract back for at least 15 years, we'll be more than happy to sell the hotel . . . The intention of bringing the brand to Singapore was to take it out of Australia and expand it to Asia,' he said.
'But I'd rather open the hotel first and get the income going. If it's an attractive price, we'll take the offer and buy another site.'
StayWell hopes to follow up with another hotel here under the three-star Leisure Inn brand. The Park Regis and Leisure Inn lines will complement each other, Mr Wan said, adding that there is strong demand for well-located and well-managed hotels in the three-star market.
He cited the success of Ibis Singapore as an example. The hotel, managed by another hospitality group Accor, opened in February last year and has achieved an above 90 per cent occupancy rate in the last three months.
But StayWell will not be rushing into any deal just so it can set up the Leisure Inn hotel. 'Because of high land costs, we have to be very careful in approaching this,' Mr Hiranandani said.
StayWell has 24 hotels in its portfolio and owns 14 of them. The group is looking to expand in Asia, and is in negotiations to buy 38 hotels in China.
Mr Hiranandani also said that he has bigger plans for StayWell but declined to elaborate. All he shared was: 'We are the only unlisted hotel operator out there.'
So is StayWell eyeing a public listing? Mr Hiranandani's son Bobby, who has been involved in the day-to-day running of his father's hospitality business, said: 'There are many options we are looking at. A listing is somewhat possible down the road.'
Source: Business Times, 29 Jun 2010
AUSTRALIA-BASED StayWell Hospitality Group is looking to stamp its Park Regis and Leisure Inn brands on more properties in Singapore and the rest of Asia.
The first Park Regis hotel here is set to open in September, and the group also has the country's first Leisure Inn hotel on the drawing board.
StayWell may be rather new to Singapore, but it is not venturing unassisted. The group's chairman is Asok Kumar Hiranandani, who built up property firm Royal Brothers with his brother, Raj Kumar.
Park Regis Investments - in which Mr Asok Kumar Hiranandani is a shareholder - won the bid for a piece of state land at Merchant Road in 2007. It has invested around $175 million in total to build the 203-room four-star Park Regis Singapore, as well as a seven-storey office block, on the site.
The hotel is targeting business travellers and room rates could start in the range of $200. StayWell is expecting an occupancy rate of 70-80 per cent. Talks to lease the office space out are underway.
The hotel will be a 'stunning investment' in the next few years, Mr Hiranandani told The Business Times. His confidence stems from the hotel's location near Clarke Quay and from the opening of the two integrated resorts.
To stand out from the competition, Park Regis Singapore will incorporate 'bits of Singaporean and Australian flavours', said StayWell CEO and managing director Simon Wan. For a start, it has picked an Australian, Jason Dowd, as the hotel's general manager.
'We will make sure that from the composition of the food, the composition of the wine, the television channels in the room to the staff uniforms, there will be some Australian flavour complemented by local themes,' Mr Wan said.
There are generally few good hotels up for sale in Singapore, so those on the market tend to generate interest among investors and observers. According to Mr Hiranandani, Park Regis Singapore has already attracted investors' interest.
'If someone gives us a management contract back for at least 15 years, we'll be more than happy to sell the hotel . . . The intention of bringing the brand to Singapore was to take it out of Australia and expand it to Asia,' he said.
'But I'd rather open the hotel first and get the income going. If it's an attractive price, we'll take the offer and buy another site.'
StayWell hopes to follow up with another hotel here under the three-star Leisure Inn brand. The Park Regis and Leisure Inn lines will complement each other, Mr Wan said, adding that there is strong demand for well-located and well-managed hotels in the three-star market.
He cited the success of Ibis Singapore as an example. The hotel, managed by another hospitality group Accor, opened in February last year and has achieved an above 90 per cent occupancy rate in the last three months.
But StayWell will not be rushing into any deal just so it can set up the Leisure Inn hotel. 'Because of high land costs, we have to be very careful in approaching this,' Mr Hiranandani said.
StayWell has 24 hotels in its portfolio and owns 14 of them. The group is looking to expand in Asia, and is in negotiations to buy 38 hotels in China.
Mr Hiranandani also said that he has bigger plans for StayWell but declined to elaborate. All he shared was: 'We are the only unlisted hotel operator out there.'
So is StayWell eyeing a public listing? Mr Hiranandani's son Bobby, who has been involved in the day-to-day running of his father's hospitality business, said: 'There are many options we are looking at. A listing is somewhat possible down the road.'
Source: Business Times, 29 Jun 2010
Tuesday, June 22, 2010
Boutique hotels in New York
A new breed is standing out from the masses with designer details and special perks
(NEW YORK) A new breed of hotels is trying to stand out from the masses with designer details and memorable perks and prices around US$250 a night.
Finding a decent place to sleep in New York City has never been easy. Traditionally, you either had to spend a tonne of money (the Ty Warner Penthouse at the Four Seasons for US$35,000 a night, anyone?) or scrimp and hope for the best (warning: a recent search for 'bed bugs' on TripAdvisor found 877 mentions for city hotels).
What is a budget and style-conscious traveller to do? Go for the new middle. In a city that still boasts one of the nation's highest room rates (US$238 on average in Manhattan, according to Smith Travel, which tracks the industry), hotels aiming for the midrange are reaching new heights.
The trend began about three years ago, with a trickle of boutiquey places like the Pod, the Ace and the Jane - which offered a patina of style without the premium prices. It has accelerated in recent months, with a raft of new hotels promising cool design, nods to local flavour and wallet-friendly rates of about US$200 to US$250.
Call them budget boutiques. But instead of coming from daring young hoteliers, many are being rolled out by chains like InterContinental and Wyndham in a bid to attract a hipper clientele.
'There's a huge wave of consumer demand, especially with the younger Gen Y or millennials, for properties that have some level of style to them,' said Sean Hennessey, founder of Lodging Advisors, a hospitality consultant firm.
In May, I slept in some of these new hotels. Despite their novelty, some were already victims of their own cliches. Rooftop bars, rainfall showers and iPhone docks were everywhere. Still, rooms were large by the city's pint-size standards, service was sharp, and for the moment, they offer some of the best values around.
Distrikt Hotel
Why book? On an exhaust-choked block next to the Port Authority bus station, three new cookie-cutter hotels are stacked together like cereal boxes in a configuration that hotel bloggers have started calling a 'tri-pack'. Distrikt, next door, is different: It has a simulacrum of soul. This is impressive, not only because of its unseemly location - within shouting distance of a homeless shelter and a parole office - but also a kitschy design conceit: Every floor takes its cue from a New York City neighbourhood.
Room: My standard room was on the 28th floor: Central Park. Don't expect a wax statue of Frederick Law Olmsted. The only nods to the famous park were photo collages that hung in the room and hallways.
Needless to say, the actual park wasn't visible from the window, though tantalising glimpses of the Hudson River were. The room itself was a beige rectangle furnished with the type of inoffensive contemporary furniture one might find in a West Elm catalogue.
Vibe: Blame the sketchy neighbours, but parts of the hotel feel as though they're under lockdown. Key cards are needed to operate the elevators, and the marble-and-steel lobby is a tad cold, despite a 12-foot vertical garden. An adjacent lounge, called Collage, looks like a modern airport bistro. It serves breakfast by day, and drinks and bar food by night. On a recent Friday evening, it was empty. 'This is New York City,' said the young bartender. 'Who wants to stay inside their hotel?'
Mints: An organic fudge brownie awaits you in the room, along with a personalised welcome letter - nice touches for a hotel of this class. There's no fitness centre, but free passes are available to the nearby Mid City Gym. You can check your e-mail on one of three large Mac screens in the lobby, but be prepared to wait.
342 West 40th Street, between Eighth and Ninth avenues; (888) 444-5610; distrikthotel.com; free Wi-Fi; breakfast for US$14.95; 155 rooms from US$209.
Eventi Hotel
Why book? Straddling the higher end is the Eventi, a 292-room hotel that opened last month in northern Chelsea. Operated by Kimpton - a San Francisco-based chain that helped pioneer the budget boutique niche - it offers doses of luxury that are unusual at this price range. There's clever design, 24-hour room service, a large terrace, a sunny gym, a spa that offers something called spirulina body wraps, and even dog and cat massages.
Room: The standard queen was sleek and handsome, with custom-made furnishings (dark woods, cloud-gray upholstery, heavy drapes) that felt rich. It had a risque side: a huge mirror faced the bed, Frette robes were trimmed with zebra prints, the honour bar was stocked with an Intimacy Kit (US$6). Other high-end perks await in the marble-tiled bathroom. There was an elongated tub, a magnifying makeup mirror and bottles of musk-scented Italian hair products.
Vibe: It's a work in progress. Planned for October are a Basque restaurant by Jeffery Chodorow, a plaza with a movie screen and whiskey bar. Meanwhile, the lobby - with cave-red marble and quirky seating nooks - fills up during the free wine hour that begins at 5pm. For breathing room, take your glass to the wraparound terrace on the fifth floor, furnished with terra-cotta planters and oversize wicker love seats.
Mints: No Pringles here. The minibar was stocked with goodies like blueberry acai Gummy Pandas (US$4), Late July organic crackers (US$3), and Alba Botanica shave cream (US$5). There's even a 375-millilitre bottle of Absolut vodka, big enough for an impromptu party. Service was polished. A free toothbrush and hair straightener were delivered in less than five minutes.
851 Avenue of the Americas, between 29th and 30th streets; (212) 564-4567; eventihotel.com; Wi-Fi is US$10 per day (free for Kimpton rewards members); a breakfast buffet is US$22; 292 rooms starting at US$249 (at US$399 once introductory rates finish in fall)
Fashion 26
Why book? A quick step from the Fashion Institute of Technology, this shiny new hotel by Wyndham tries hard to live up to its name.
There's a Best Dressed Guest contest held occasionally (winners get room upgrades), the Mondrian-like mural above the front desk is made from thread spools, and the concierge keeps tabs on sample sales. No, you won't see a gaggle of models during check-in, but the hotel does have fun playing dress-up.
Room: A standard room was maybe a size medium, with plenty of nods to fashion: buttons on the door numbers, a merino herringbone throw on the bed and mint-green polka dots on the walls. Housekeeping staff members wear custom dresses that hint, naughtily, at French maid. A big window offered postcard views of the Empire State Building, as well as peeks inside garment showrooms across the street.
Vibe: Despite all the sartorial trappings, guests dressed like any in your typical off-the-rack hotel. On a recent Monday, there were FIT parents in the slate-gray lobby, and suits trading airport stories in the elevator. There's a chatty cocktail scene at the lobby bar, but Rare, the fiery orange dining room, was desolate. Maybe the ho-hum menu - part burger joint, part formal steakhouse - was to blame. A rooftop bar is expected to open this month.
Mints: Service was elegant and unobtrusive. Arriving two hours before check-in was no problem; the attendant had a room ready. Come back from dinner and the bed is turned down: the pillows stacked upright, the comforter removed, a note left on the sheets with tomorrow's weather, and a mint. There's also a decent gym in the basement and a single-cup Keurig coffee maker in the room.
152 West 26th Street, between Avenue of the Americas and Seventh avenues; (212) 858-5888; f26nyc.com; free Wi-Fi and a US$15 cold and US$19.70 hot breakfast buffet, along with à la carte; 280 rooms from US$229.
Hotel Indigo
Why book? Hotel Indigo may be the prototype of this new hotel class. Started by the InterContinental Hotels Group, which owns Holiday Inn and other chains, the Indigo brand aims to be affordable yet stylish, though its first property in New York City doesn't quite hit the mark. It opened last October in the heart of the flower district, so it is hemmed on all sides with orchids and pussy willow.
There are flowers inside the hotel, too, though mostly of the printed variety. Hallway carpets with comically giant indigos and carrot-orange walls conspire to create a visual jungle. Too bad the floral theme didn't extend to the scent. The lobby smelled more like cleaning fluid than roses.
Room: The oversaturated colour scheme continued inside the room, with a headboard stitched together from swatches of reds, oranges and yellows. Still, the room was bright and airy, with hardwood floors, a small desk and a floor-to-ceiling print of sewing needles. The view was quintessentially New York: fire escapes and the back of old factory buildings. As in many of these budget boutiques, the bathroom was sleekly appointed. In this case, however, the shower lacked water pressure, and a puddle from the previous night was still on the shower floor in the morning.
Vibe: An oddball mix. Foreign tourists in I (HEART) New York T-shirts sat in the lobby. Office workers crowded the smoky rooftop Glass Bar. And at Blu, its street-level Italian restaurant, there was, well, no one. The soupy risotto I was served one night may have something to do with it.
Mints: Service was unexpectedly attentive; the front desk called shortly after check-in to make sure everything was in order. In the basement, there's a basic business centre (two desktop computers) and a well-equipped, if petite, fitness studio with free weights and treadmills.
127 West 28th Street, between Avenue of the Americas and Seventh Avenue; (212) 973-9000; indigochelsea.com; 122 rooms from US$269; US$15.99 breakfast buffet, and à la carte brunch served on weekends. -- NYT
Source: Business Times, 22 Jun 2010
(NEW YORK) A new breed of hotels is trying to stand out from the masses with designer details and memorable perks and prices around US$250 a night.
Finding a decent place to sleep in New York City has never been easy. Traditionally, you either had to spend a tonne of money (the Ty Warner Penthouse at the Four Seasons for US$35,000 a night, anyone?) or scrimp and hope for the best (warning: a recent search for 'bed bugs' on TripAdvisor found 877 mentions for city hotels).
What is a budget and style-conscious traveller to do? Go for the new middle. In a city that still boasts one of the nation's highest room rates (US$238 on average in Manhattan, according to Smith Travel, which tracks the industry), hotels aiming for the midrange are reaching new heights.
The trend began about three years ago, with a trickle of boutiquey places like the Pod, the Ace and the Jane - which offered a patina of style without the premium prices. It has accelerated in recent months, with a raft of new hotels promising cool design, nods to local flavour and wallet-friendly rates of about US$200 to US$250.
Call them budget boutiques. But instead of coming from daring young hoteliers, many are being rolled out by chains like InterContinental and Wyndham in a bid to attract a hipper clientele.
'There's a huge wave of consumer demand, especially with the younger Gen Y or millennials, for properties that have some level of style to them,' said Sean Hennessey, founder of Lodging Advisors, a hospitality consultant firm.
In May, I slept in some of these new hotels. Despite their novelty, some were already victims of their own cliches. Rooftop bars, rainfall showers and iPhone docks were everywhere. Still, rooms were large by the city's pint-size standards, service was sharp, and for the moment, they offer some of the best values around.
Distrikt Hotel
Why book? On an exhaust-choked block next to the Port Authority bus station, three new cookie-cutter hotels are stacked together like cereal boxes in a configuration that hotel bloggers have started calling a 'tri-pack'. Distrikt, next door, is different: It has a simulacrum of soul. This is impressive, not only because of its unseemly location - within shouting distance of a homeless shelter and a parole office - but also a kitschy design conceit: Every floor takes its cue from a New York City neighbourhood.
Room: My standard room was on the 28th floor: Central Park. Don't expect a wax statue of Frederick Law Olmsted. The only nods to the famous park were photo collages that hung in the room and hallways.
Needless to say, the actual park wasn't visible from the window, though tantalising glimpses of the Hudson River were. The room itself was a beige rectangle furnished with the type of inoffensive contemporary furniture one might find in a West Elm catalogue.
Vibe: Blame the sketchy neighbours, but parts of the hotel feel as though they're under lockdown. Key cards are needed to operate the elevators, and the marble-and-steel lobby is a tad cold, despite a 12-foot vertical garden. An adjacent lounge, called Collage, looks like a modern airport bistro. It serves breakfast by day, and drinks and bar food by night. On a recent Friday evening, it was empty. 'This is New York City,' said the young bartender. 'Who wants to stay inside their hotel?'
Mints: An organic fudge brownie awaits you in the room, along with a personalised welcome letter - nice touches for a hotel of this class. There's no fitness centre, but free passes are available to the nearby Mid City Gym. You can check your e-mail on one of three large Mac screens in the lobby, but be prepared to wait.
342 West 40th Street, between Eighth and Ninth avenues; (888) 444-5610; distrikthotel.com; free Wi-Fi; breakfast for US$14.95; 155 rooms from US$209.
Eventi Hotel
Why book? Straddling the higher end is the Eventi, a 292-room hotel that opened last month in northern Chelsea. Operated by Kimpton - a San Francisco-based chain that helped pioneer the budget boutique niche - it offers doses of luxury that are unusual at this price range. There's clever design, 24-hour room service, a large terrace, a sunny gym, a spa that offers something called spirulina body wraps, and even dog and cat massages.
Room: The standard queen was sleek and handsome, with custom-made furnishings (dark woods, cloud-gray upholstery, heavy drapes) that felt rich. It had a risque side: a huge mirror faced the bed, Frette robes were trimmed with zebra prints, the honour bar was stocked with an Intimacy Kit (US$6). Other high-end perks await in the marble-tiled bathroom. There was an elongated tub, a magnifying makeup mirror and bottles of musk-scented Italian hair products.
Vibe: It's a work in progress. Planned for October are a Basque restaurant by Jeffery Chodorow, a plaza with a movie screen and whiskey bar. Meanwhile, the lobby - with cave-red marble and quirky seating nooks - fills up during the free wine hour that begins at 5pm. For breathing room, take your glass to the wraparound terrace on the fifth floor, furnished with terra-cotta planters and oversize wicker love seats.
Mints: No Pringles here. The minibar was stocked with goodies like blueberry acai Gummy Pandas (US$4), Late July organic crackers (US$3), and Alba Botanica shave cream (US$5). There's even a 375-millilitre bottle of Absolut vodka, big enough for an impromptu party. Service was polished. A free toothbrush and hair straightener were delivered in less than five minutes.
851 Avenue of the Americas, between 29th and 30th streets; (212) 564-4567; eventihotel.com; Wi-Fi is US$10 per day (free for Kimpton rewards members); a breakfast buffet is US$22; 292 rooms starting at US$249 (at US$399 once introductory rates finish in fall)
Fashion 26
Why book? A quick step from the Fashion Institute of Technology, this shiny new hotel by Wyndham tries hard to live up to its name.
There's a Best Dressed Guest contest held occasionally (winners get room upgrades), the Mondrian-like mural above the front desk is made from thread spools, and the concierge keeps tabs on sample sales. No, you won't see a gaggle of models during check-in, but the hotel does have fun playing dress-up.
Room: A standard room was maybe a size medium, with plenty of nods to fashion: buttons on the door numbers, a merino herringbone throw on the bed and mint-green polka dots on the walls. Housekeeping staff members wear custom dresses that hint, naughtily, at French maid. A big window offered postcard views of the Empire State Building, as well as peeks inside garment showrooms across the street.
Vibe: Despite all the sartorial trappings, guests dressed like any in your typical off-the-rack hotel. On a recent Monday, there were FIT parents in the slate-gray lobby, and suits trading airport stories in the elevator. There's a chatty cocktail scene at the lobby bar, but Rare, the fiery orange dining room, was desolate. Maybe the ho-hum menu - part burger joint, part formal steakhouse - was to blame. A rooftop bar is expected to open this month.
Mints: Service was elegant and unobtrusive. Arriving two hours before check-in was no problem; the attendant had a room ready. Come back from dinner and the bed is turned down: the pillows stacked upright, the comforter removed, a note left on the sheets with tomorrow's weather, and a mint. There's also a decent gym in the basement and a single-cup Keurig coffee maker in the room.
152 West 26th Street, between Avenue of the Americas and Seventh avenues; (212) 858-5888; f26nyc.com; free Wi-Fi and a US$15 cold and US$19.70 hot breakfast buffet, along with à la carte; 280 rooms from US$229.
Hotel Indigo
Why book? Hotel Indigo may be the prototype of this new hotel class. Started by the InterContinental Hotels Group, which owns Holiday Inn and other chains, the Indigo brand aims to be affordable yet stylish, though its first property in New York City doesn't quite hit the mark. It opened last October in the heart of the flower district, so it is hemmed on all sides with orchids and pussy willow.
There are flowers inside the hotel, too, though mostly of the printed variety. Hallway carpets with comically giant indigos and carrot-orange walls conspire to create a visual jungle. Too bad the floral theme didn't extend to the scent. The lobby smelled more like cleaning fluid than roses.
Room: The oversaturated colour scheme continued inside the room, with a headboard stitched together from swatches of reds, oranges and yellows. Still, the room was bright and airy, with hardwood floors, a small desk and a floor-to-ceiling print of sewing needles. The view was quintessentially New York: fire escapes and the back of old factory buildings. As in many of these budget boutiques, the bathroom was sleekly appointed. In this case, however, the shower lacked water pressure, and a puddle from the previous night was still on the shower floor in the morning.
Vibe: An oddball mix. Foreign tourists in I (HEART) New York T-shirts sat in the lobby. Office workers crowded the smoky rooftop Glass Bar. And at Blu, its street-level Italian restaurant, there was, well, no one. The soupy risotto I was served one night may have something to do with it.
Mints: Service was unexpectedly attentive; the front desk called shortly after check-in to make sure everything was in order. In the basement, there's a basic business centre (two desktop computers) and a well-equipped, if petite, fitness studio with free weights and treadmills.
127 West 28th Street, between Avenue of the Americas and Seventh Avenue; (212) 973-9000; indigochelsea.com; 122 rooms from US$269; US$15.99 breakfast buffet, and à la carte brunch served on weekends. -- NYT
Source: Business Times, 22 Jun 2010
Friday, June 18, 2010
Hong Leong targets budget hotels as part of growth plans
New Studio M hotel aims to plug gap between four-star and budget hotels
HONG Leong Group is hoping to grow its budget hotel segment in Singapore and the region, said executive chairman Kwek Leng Beng.
The group yesterday unveiled the latest addition to its Singapore hotel portfolio - the $110 million Studio M. The price tag for the hotel at Nanson Road in the Robertson Quay area includes the $45.8 million Hong Leong paid for the land in late 2006.
The price works out to $518 per square foot of potential gross floor area.
The 360-room Studio M - held under Hong Leong's London-listed unit Millennium & Copthorne Hotels - boasts unique loft-style rooms, which the conglomerate says is a first in Singapore. The property, which was designed by Italian architect Piero Lissoni, has achieved over 80 per cent occupancy since it opened its doors in late March.
The Studio M brand will plug the gap between four-star and budget hotels in Singapore, said Mr Kwek, who was speaking to reporters at the hotel's official opening yesterday.
'Young and savvy travellers looking for designer- type, quality accommodation will find Studio M's new concept and brand appealing,' said Mr Kwek. 'Not only will Studio M set a new benchmark in the local hospitality scene, we believe that it has potential to grow its presence overseas as well.'
But while he is looking for opportunities to grow the Studio M brand in both Singapore and the region, Mr Kwek also revealed that he is working on another concept for a 'strictly budget' chain of hotels.
Hong Leong is best known in Singapore for its luxury hotels such as the Grand Copthorne Waterfront Hotel and Orchard Hotel.
For the budget hotel business, Mr Kwek said he is looking at Singapore as well as Chinese cities. But the conglomerate will avoid saturated markets as well as places with volatile and unstable economies, he added.
Source: Business Times, 18 Jun 2010
HONG Leong Group is hoping to grow its budget hotel segment in Singapore and the region, said executive chairman Kwek Leng Beng.
The group yesterday unveiled the latest addition to its Singapore hotel portfolio - the $110 million Studio M. The price tag for the hotel at Nanson Road in the Robertson Quay area includes the $45.8 million Hong Leong paid for the land in late 2006.
The price works out to $518 per square foot of potential gross floor area.
The 360-room Studio M - held under Hong Leong's London-listed unit Millennium & Copthorne Hotels - boasts unique loft-style rooms, which the conglomerate says is a first in Singapore. The property, which was designed by Italian architect Piero Lissoni, has achieved over 80 per cent occupancy since it opened its doors in late March.
The Studio M brand will plug the gap between four-star and budget hotels in Singapore, said Mr Kwek, who was speaking to reporters at the hotel's official opening yesterday.
'Young and savvy travellers looking for designer- type, quality accommodation will find Studio M's new concept and brand appealing,' said Mr Kwek. 'Not only will Studio M set a new benchmark in the local hospitality scene, we believe that it has potential to grow its presence overseas as well.'
But while he is looking for opportunities to grow the Studio M brand in both Singapore and the region, Mr Kwek also revealed that he is working on another concept for a 'strictly budget' chain of hotels.
Hong Leong is best known in Singapore for its luxury hotels such as the Grand Copthorne Waterfront Hotel and Orchard Hotel.
For the budget hotel business, Mr Kwek said he is looking at Singapore as well as Chinese cities. But the conglomerate will avoid saturated markets as well as places with volatile and unstable economies, he added.
Source: Business Times, 18 Jun 2010
Room for new type of hotels
Kwek Leng Beng opens the door to new budget concept at launch of Studio M chain
A NEW kind of budget hotel is on the drawing board at Millennium & Copthorne Hotels, even as it officially opens its new studio-inspired chain here.
Chairman Kwek Leng Beng said at the launch of the firm's first Studio M outlet yesterday: 'I'm a developer, I always like to create something that is exciting, that nobody has had before.'
He said he intends to introduce a 'real budget, budget hotel' that 'nobody has seen', although there are no firm details yet.
The price of land will be one factor that will influence the firm's plans, but Mr Kwek believes the concept is sound.
'Budget property is lacking in Singapore,' he said, but 'the Government is helping by offering sites'. He added that ideal locations would be outside of the central area, unless the Government could give shorter leases with lower premiums for centrally located land sites.
The firm's main event yesterday was the launch of the Studio M Hotel in Robertson Quay. It is aimed at young travellers who want designer-type, quality accommodation at affordable prices.
There are 360 rooms, each about 22 sq m in size, with free wireless connectivity.
'This is not a five-star hotel,' Mr Kwek said, but it fills 'the gap between a good four-star and a budget hotel' and could be viewed as 'limited service, with a twist'.
The hotel has been operating since March 26 and has achieved over 80 per cent occupancy, said a statement from M&C Hotels yesterday. The $120 million development is charging opening rates of $160 for weekends and $180 for weekdays. Normal rates will begin at a minimum $200.
Mr Kwek has said in the past that he intends to take the Studio M Hotel set-up overseas, and plans are under way for an outlet in India, industry sources told The Straits Times.
Enquiries have already come in from the Middle East and China, said Mr Kwek, who is also keen to introduce the brand to New Zealand.
M&C Hotels runs about 30 hotels in New Zealand, saying 'this is a concept they've never seen', in reference to the studio apartment and hotel hybrid model.
Mr Kwek's outlook for the hospitality sector is positive but, while 'projection is a good guideline, it is not necessarily the gospel truth'.
A lot also depends on the way governments in Asia choose to address concerns surrounding overheating markets, he added. Doing too much 'could kill the recovery' and sometimes, when 'you press the button too hard, the engine might stall'.
He also said room rates should improve this year 'because we are still 18 per cent below the peak of 2008', adding that average room rates in Singapore are among 'the cheapest around', compared with those in Western countries and even in other parts of Asia.
Mr Kwek added that it was important to increase the length of time that guests stay. The average length of stay here is four days, and he hopes to increase this to 41/2 to five days at his hotels, a change that could bring significant economic benefits.
Source: Straits Times, 18 Jun 2010
A NEW kind of budget hotel is on the drawing board at Millennium & Copthorne Hotels, even as it officially opens its new studio-inspired chain here.
Chairman Kwek Leng Beng said at the launch of the firm's first Studio M outlet yesterday: 'I'm a developer, I always like to create something that is exciting, that nobody has had before.'
He said he intends to introduce a 'real budget, budget hotel' that 'nobody has seen', although there are no firm details yet.
The price of land will be one factor that will influence the firm's plans, but Mr Kwek believes the concept is sound.
'Budget property is lacking in Singapore,' he said, but 'the Government is helping by offering sites'. He added that ideal locations would be outside of the central area, unless the Government could give shorter leases with lower premiums for centrally located land sites.
The firm's main event yesterday was the launch of the Studio M Hotel in Robertson Quay. It is aimed at young travellers who want designer-type, quality accommodation at affordable prices.
There are 360 rooms, each about 22 sq m in size, with free wireless connectivity.
'This is not a five-star hotel,' Mr Kwek said, but it fills 'the gap between a good four-star and a budget hotel' and could be viewed as 'limited service, with a twist'.
The hotel has been operating since March 26 and has achieved over 80 per cent occupancy, said a statement from M&C Hotels yesterday. The $120 million development is charging opening rates of $160 for weekends and $180 for weekdays. Normal rates will begin at a minimum $200.
Mr Kwek has said in the past that he intends to take the Studio M Hotel set-up overseas, and plans are under way for an outlet in India, industry sources told The Straits Times.
Enquiries have already come in from the Middle East and China, said Mr Kwek, who is also keen to introduce the brand to New Zealand.
M&C Hotels runs about 30 hotels in New Zealand, saying 'this is a concept they've never seen', in reference to the studio apartment and hotel hybrid model.
Mr Kwek's outlook for the hospitality sector is positive but, while 'projection is a good guideline, it is not necessarily the gospel truth'.
A lot also depends on the way governments in Asia choose to address concerns surrounding overheating markets, he added. Doing too much 'could kill the recovery' and sometimes, when 'you press the button too hard, the engine might stall'.
He also said room rates should improve this year 'because we are still 18 per cent below the peak of 2008', adding that average room rates in Singapore are among 'the cheapest around', compared with those in Western countries and even in other parts of Asia.
Mr Kwek added that it was important to increase the length of time that guests stay. The average length of stay here is four days, and he hopes to increase this to 41/2 to five days at his hotels, a change that could bring significant economic benefits.
Source: Straits Times, 18 Jun 2010
Tuesday, June 15, 2010
URA to put hotel site up for tender soon
Plot next to Central Mall could draw bids of $378 psf ppr or more
A DEVELOPER has shown interest in a 99-year hotel site at the junction of Clemenceau Avenue and Havelock Road, committing to pay at least $40.8 million or $328 per sq ft per plot ratio (psf ppr) for it.
The Urban Redevelopment Authority (URA) said yesterday that it will launch the land parcel for tender in about two weeks' time. Property consultants expect to see considerable demand for the site.
The plot became available for sale through the reserve list system in March 2008. It measures 0.55 ha, has a maximum permissible gross floor area of 124,377 sq ft, and can accommodate a development of up to seven storeys high. URA estimates that some 195 hotel rooms can be built on the site.
The land parcel is right next to Central Mall, and is within walking distance to entertainment and food and beverage outlets at Riverside Point and Clarke Quay. The area is also home to several other hotels such as Swissotel Merchant Court Hotel and Novotel Clarke Quay Hotel.
Cushman & Wakefield managing director Donald Han believes there could be at least five bidders for the site, and the top bid could reach $480-500 psf ppr.
In September last year, URA sold a 99-year hotel plot at New Bridge Road for $401 psf ppr.
'The hotel market has improved this year because of strong tourist arrivals,' Mr Han said. In April, the number of visitors to Singapore grew 20.4 per cent year-on-year to 938,000.
He added that the site at Havelock Road has a central location, and it could be suitable for a three and a half to a four and a half-star hotel.
Colliers International research and advisory director Tay Huey Ying also expects to see 'a handful' of bidders for the site. The site is not too big, so the total investment sum should be rather affordable, she said.
The hotel could target corporate visitors, to coincide with the increasing stock of office space completing in the central business district, she added.
Ngee Ann Polytechnic real estate lecturer Nicholas Mak projects that there will be four to eight bids for the site, ranging from $378-426 psf ppr.
Source: Business Times, 15 Jun 2010
A DEVELOPER has shown interest in a 99-year hotel site at the junction of Clemenceau Avenue and Havelock Road, committing to pay at least $40.8 million or $328 per sq ft per plot ratio (psf ppr) for it.
The Urban Redevelopment Authority (URA) said yesterday that it will launch the land parcel for tender in about two weeks' time. Property consultants expect to see considerable demand for the site.
The plot became available for sale through the reserve list system in March 2008. It measures 0.55 ha, has a maximum permissible gross floor area of 124,377 sq ft, and can accommodate a development of up to seven storeys high. URA estimates that some 195 hotel rooms can be built on the site.
The land parcel is right next to Central Mall, and is within walking distance to entertainment and food and beverage outlets at Riverside Point and Clarke Quay. The area is also home to several other hotels such as Swissotel Merchant Court Hotel and Novotel Clarke Quay Hotel.
Cushman & Wakefield managing director Donald Han believes there could be at least five bidders for the site, and the top bid could reach $480-500 psf ppr.
In September last year, URA sold a 99-year hotel plot at New Bridge Road for $401 psf ppr.
'The hotel market has improved this year because of strong tourist arrivals,' Mr Han said. In April, the number of visitors to Singapore grew 20.4 per cent year-on-year to 938,000.
He added that the site at Havelock Road has a central location, and it could be suitable for a three and a half to a four and a half-star hotel.
Colliers International research and advisory director Tay Huey Ying also expects to see 'a handful' of bidders for the site. The site is not too big, so the total investment sum should be rather affordable, she said.
The hotel could target corporate visitors, to coincide with the increasing stock of office space completing in the central business district, she added.
Ngee Ann Polytechnic real estate lecturer Nicholas Mak projects that there will be four to eight bids for the site, ranging from $378-426 psf ppr.
Source: Business Times, 15 Jun 2010
Clemenceau Ave site up for hotel tender
99-year leasehold plot next to Central Mall and near S'pore River to be put up for sale in 2 weeks
A HOTEL site suitable for a medium-size development, at the junction of Clemenceau Avenue and Havelock Road, will be put up for sale in two weeks.
Yesterday, the Urban Redevelopment Authority said an unnamed developer has committed to bid at least $40.9 million for the 0.55ha site, thereby triggering the tender process.
The 99-year leasehold site is next to Central Mall and is within walking distance of the Singapore River and Clarke Quay. It is also close to the financial district.
The site can yield a maximum gross floor area of 11,555 sq m and can be built up to seven storeys.
A hotel on the site would attract mostly business travellers, said Cushman & Wakefield managing director Donald Han.
He expects bids to come in at between $480 and $500 per sq ft per plot ratio (psf ppr). The trigger bid was $328 psf ppr.
Ngee Ann Polytechnic real estate lecturer Nicholas Mak expects bids of $380 to $430 psf ppr.
The Clemenceau Avenue site has been on the Government's reserve list since March 2008. Under this list of development sites, a site will be put up for tender only after a developer commits to a bid that reaches a minimum level set by the Government.
Mr Han expects more investor interest in Singapore's hotel market, which, he said, is the Asia-Pacific's star performer.
Singapore Tourism Board data shows that average hotel occupancy rose to 85 per cent in April, up 15 percentage points from last year. Average room rates rose by 12.2 per cent to $211, while revenue per available room surged 36 per cent to $179.
In a separate announcement, Credo Real Estate said that Hoi Hup Realty had recently agreed to buy Pender Court in a collective sale for $95 million.
This price works out to $1,007 psf ppr, based on a plot ratio of 1.44. The owners of the 48-unit estate stand to reap an average of $1.98 million per unit.
Meanwhile, the freehold 32-unit People's Mansion in Geylang has been launched for collective sale.
Source: Straits Times, 15 Jun 2010
A HOTEL site suitable for a medium-size development, at the junction of Clemenceau Avenue and Havelock Road, will be put up for sale in two weeks.
Yesterday, the Urban Redevelopment Authority said an unnamed developer has committed to bid at least $40.9 million for the 0.55ha site, thereby triggering the tender process.
The 99-year leasehold site is next to Central Mall and is within walking distance of the Singapore River and Clarke Quay. It is also close to the financial district.
The site can yield a maximum gross floor area of 11,555 sq m and can be built up to seven storeys.
A hotel on the site would attract mostly business travellers, said Cushman & Wakefield managing director Donald Han.
He expects bids to come in at between $480 and $500 per sq ft per plot ratio (psf ppr). The trigger bid was $328 psf ppr.
Ngee Ann Polytechnic real estate lecturer Nicholas Mak expects bids of $380 to $430 psf ppr.
The Clemenceau Avenue site has been on the Government's reserve list since March 2008. Under this list of development sites, a site will be put up for tender only after a developer commits to a bid that reaches a minimum level set by the Government.
Mr Han expects more investor interest in Singapore's hotel market, which, he said, is the Asia-Pacific's star performer.
Singapore Tourism Board data shows that average hotel occupancy rose to 85 per cent in April, up 15 percentage points from last year. Average room rates rose by 12.2 per cent to $211, while revenue per available room surged 36 per cent to $179.
In a separate announcement, Credo Real Estate said that Hoi Hup Realty had recently agreed to buy Pender Court in a collective sale for $95 million.
This price works out to $1,007 psf ppr, based on a plot ratio of 1.44. The owners of the 48-unit estate stand to reap an average of $1.98 million per unit.
Meanwhile, the freehold 32-unit People's Mansion in Geylang has been launched for collective sale.
Source: Straits Times, 15 Jun 2010
In-demand Ibis on Bencoolen is up for sale
Hotel attracts interest, could fetch more than $200m
(SINGAPORE) Ibis Singapore on Bencoolen, a three-star hotel that opened its doors in February last year, has been put up for sale via a private tender.
Results of the tender will not be out until next month, though market watchers are guessing that the 538-room hotel could fetch more than $200 million.
Ibis Singapore is owned by hospitality group Accor and real estate investor LaSalle Investment Management in a 30:70 venture. Accor also owns the Ibis brand. According to past reports, the partners put in $145 million to develop the hotel at Bencoolen Street after winning the tender for the site in 2006.
Jones Lang LaSalle Hotels is handling the tender. According to its managing director of investment sales in Asia Mike Batchelor, the private tender began last month. As part of the deal, Accor will continue to operate the hotel under a long-term management agreement, meaning that the Ibis brand will stay.
The owners have been receiving 'a number of unsolicited approaches from investors' to buy Ibis Singapore, he told The Business Times. As a result, 'they decided to formally offer the asset for sale.'
Interest in the hotel has come mainly from private families and high net worth individuals, from not just Singapore but also regional countries such as Malaysia and Indonesia, Mr Batchelor added.
Market watchers felt that Ibis Singapore is a fairly attractive asset, given that it is new, well located, and has been performing relatively well. Accor Asia Pacific spokesman Evan Lewis said that for the last three months, the hotel has 'achieved occupancies in the mid-90 per cent with an average rate of around $140.'
A consultant who declined to be named pointed out that 'hotels in Singapore are very difficult to come by' so there will be demand. 'It's only about whether the pricing is sensible enough,' he said.
Another consultant felt that there is an insufficient number of good three-star hotels here. This puts Ibis Singapore in good stead, especially with property funds returning to scout for investments. 'There's quite a lot of money starting to come back globally,' he said.
With Singapore's hospitality industry picking up, some market observers even suggested that it might be better to sell the hotel later, when it might fetch a higher price.
'Most hoteliers would want to hold on to their properties given the robust outlook' for the hospitality sector, an analyst said. One reason is that the integrated resorts could draw more tourists later.
In April, the number of visitors to Singapore grew 20.4 per cent year-on-year to 938,000. Consultancy HVS Global Hospitality Services recently projected that the average room rate will rise 10-15 per cent this year from $191 last year.
Within the hospitality industry, fears of an oversupply of hotel rooms have started fading. Some upcoming hotels include Park Regis Singapore and Ibis Novena.
Source: Business Times, 15 Jun 2010
(SINGAPORE) Ibis Singapore on Bencoolen, a three-star hotel that opened its doors in February last year, has been put up for sale via a private tender.
Results of the tender will not be out until next month, though market watchers are guessing that the 538-room hotel could fetch more than $200 million.
Ibis Singapore is owned by hospitality group Accor and real estate investor LaSalle Investment Management in a 30:70 venture. Accor also owns the Ibis brand. According to past reports, the partners put in $145 million to develop the hotel at Bencoolen Street after winning the tender for the site in 2006.
Jones Lang LaSalle Hotels is handling the tender. According to its managing director of investment sales in Asia Mike Batchelor, the private tender began last month. As part of the deal, Accor will continue to operate the hotel under a long-term management agreement, meaning that the Ibis brand will stay.
The owners have been receiving 'a number of unsolicited approaches from investors' to buy Ibis Singapore, he told The Business Times. As a result, 'they decided to formally offer the asset for sale.'
Interest in the hotel has come mainly from private families and high net worth individuals, from not just Singapore but also regional countries such as Malaysia and Indonesia, Mr Batchelor added.
Market watchers felt that Ibis Singapore is a fairly attractive asset, given that it is new, well located, and has been performing relatively well. Accor Asia Pacific spokesman Evan Lewis said that for the last three months, the hotel has 'achieved occupancies in the mid-90 per cent with an average rate of around $140.'
A consultant who declined to be named pointed out that 'hotels in Singapore are very difficult to come by' so there will be demand. 'It's only about whether the pricing is sensible enough,' he said.
Another consultant felt that there is an insufficient number of good three-star hotels here. This puts Ibis Singapore in good stead, especially with property funds returning to scout for investments. 'There's quite a lot of money starting to come back globally,' he said.
With Singapore's hospitality industry picking up, some market observers even suggested that it might be better to sell the hotel later, when it might fetch a higher price.
'Most hoteliers would want to hold on to their properties given the robust outlook' for the hospitality sector, an analyst said. One reason is that the integrated resorts could draw more tourists later.
In April, the number of visitors to Singapore grew 20.4 per cent year-on-year to 938,000. Consultancy HVS Global Hospitality Services recently projected that the average room rate will rise 10-15 per cent this year from $191 last year.
Within the hospitality industry, fears of an oversupply of hotel rooms have started fading. Some upcoming hotels include Park Regis Singapore and Ibis Novena.
Source: Business Times, 15 Jun 2010
Monday, June 14, 2010
URA to launch tender for site at Clemenceau Ave in two weeks
A hotel site in Clemenceau Avenue and Havelock Road will be put up for sale in two weeks.
The Urban Redevelopment Authority (URA) said the 99-year leasehold site can generate a maximum gross floor area of 11,555 square metres.
The Reserve List site spans 0.55 hectares and a developer will be able to build a hotel development of not more than seven storeys on the plot.
URA said a developer has committed to bid at least S$40.8 million for the land parcel.
The launch date will be announced later.
URA added that the tender period for the land parcel will be about eight weeks.
Source: Channel News Asia, 14 Jun 2010
The Urban Redevelopment Authority (URA) said the 99-year leasehold site can generate a maximum gross floor area of 11,555 square metres.
The Reserve List site spans 0.55 hectares and a developer will be able to build a hotel development of not more than seven storeys on the plot.
URA said a developer has committed to bid at least S$40.8 million for the land parcel.
The launch date will be announced later.
URA added that the tender period for the land parcel will be about eight weeks.
Source: Channel News Asia, 14 Jun 2010
Thursday, June 10, 2010
Hyatt plans to develop more hotel properties
(LOS ANGELES) Hyatt Hotels Corp, the lodging chain controlled by the Pritzker family, plans to put more money into developing properties, president and chief executive officer Mark Hoplamazian said.
The Chicago-based company, which had 434 locations as of March 31, is buying and investing in joint ventures and debt financing to develop North American hotels. The strategy contrasts with rivals seeking to pare holdings.
'We are willing to invest our own money to see a developer put the shovel in the ground sooner than later,' Mr Hoplamazian said during an interview on Tuesday at the soon-to-open Andaz hotel on 41st Street and Fifth Avenue in Manhattan.
Marriott International, the largest US hotel chain, and Starwood Hotels & Resorts Worldwide, the third-biggest, have said they are selling stakes in properties to focus on the operation of their hotels.
Starwood sold two of its W Hotels in Manhattan to St Giles Hotels in April as part of the plan.
Hyatt also is looking to expand the Grand Hyatt and boutique Andaz brands through new development, recapitalising stalled projects or taking over other hotels, Mr Hoplamazian said.
The company in April won the management contract for the Aviara Resort in California, formerly a Four Seasons Hotels venue, and said it will rebrand the property as a Park Hyatt. It converted the Ivy Hotel in San Diego into an Andaz in February.
Hyatt, which raised US$1.09 billion in an initial public offering last year, opened an Andaz property on Wall Street in Manhattan this year. It expects to debut the 41st Street location next month.
Mr Hoplamazian compared the brand to Starwood's W chain. 'The customer base is large enough and they are robust spenders on travel. We think for sure that Andaz has every bit of the potential as the W Hotel chain.' - Bloomberg
Source: Business Times, 10 Jun 2010
The Chicago-based company, which had 434 locations as of March 31, is buying and investing in joint ventures and debt financing to develop North American hotels. The strategy contrasts with rivals seeking to pare holdings.
'We are willing to invest our own money to see a developer put the shovel in the ground sooner than later,' Mr Hoplamazian said during an interview on Tuesday at the soon-to-open Andaz hotel on 41st Street and Fifth Avenue in Manhattan.
Marriott International, the largest US hotel chain, and Starwood Hotels & Resorts Worldwide, the third-biggest, have said they are selling stakes in properties to focus on the operation of their hotels.
Starwood sold two of its W Hotels in Manhattan to St Giles Hotels in April as part of the plan.
Hyatt also is looking to expand the Grand Hyatt and boutique Andaz brands through new development, recapitalising stalled projects or taking over other hotels, Mr Hoplamazian said.
The company in April won the management contract for the Aviara Resort in California, formerly a Four Seasons Hotels venue, and said it will rebrand the property as a Park Hyatt. It converted the Ivy Hotel in San Diego into an Andaz in February.
Hyatt, which raised US$1.09 billion in an initial public offering last year, opened an Andaz property on Wall Street in Manhattan this year. It expects to debut the 41st Street location next month.
Mr Hoplamazian compared the brand to Starwood's W chain. 'The customer base is large enough and they are robust spenders on travel. We think for sure that Andaz has every bit of the potential as the W Hotel chain.' - Bloomberg
Source: Business Times, 10 Jun 2010
Stiff competition for Orchard Road latecomer
A proposed mixed-hotel-and- retail development on the site of the former Specialists’ Shopping Centre and Hotel Phoenix may face stiff competition, as it will be a latecomer in the revamped Orchard Road shopping strip, said industry players.
But experts also believe the new development will benefit from synergies with nearby shopping malls once the linkway, Discovery Walk, is complete.
Discovery Walk is a decked pedestrian mall which covers Stamford Canal and links the Specialist’s Shopping Centre/Hotel Phoenix site to the adjacent malls, Orchard Central and 313@Somerset. It will be fully complete with the redevelopment of Specialist’s Centre/Hotel Phoenix site, which is owned by OCBC Bank.
Mainboard-listed United Engineers (UE) announced on Monday that it won a $550 million contract to redevelop the site. Temporary Occupancy Permits are expected to be obtained by 2013.
Ms Sng Ngoi May, chairman of the Orchard Road Business Association, said competition is inevitable but views the new development as the missing piece of the puzzle.
“The three adjoining sites will enhance each others’ position. Right now, Discovery Walk is a blank wall till the centre clout is developed,” she said.
The redeveloped project includes a pedestrian bridge and underpass which will link the new development to the Great Eastern-owned Orchard Emerald site across the road.
But Ms Sng notes that cannibalisation is a real possibility if the supply of retail space falls short of retail spending. She said she hopes the integrated resorts and tourists from the redeveloped Hotel Phoenix will stoke demand for more retail space.
DTZ’s senior director of research Chua Chor Hoon said the 2013 estimated completion date could be an advantage.
“When they complete in 2013, they will be the only major shopping mall along Orchard road that is going to be launched,” she said.
Source: Today, 10 Jun 2010
But experts also believe the new development will benefit from synergies with nearby shopping malls once the linkway, Discovery Walk, is complete.
Discovery Walk is a decked pedestrian mall which covers Stamford Canal and links the Specialist’s Shopping Centre/Hotel Phoenix site to the adjacent malls, Orchard Central and 313@Somerset. It will be fully complete with the redevelopment of Specialist’s Centre/Hotel Phoenix site, which is owned by OCBC Bank.
Mainboard-listed United Engineers (UE) announced on Monday that it won a $550 million contract to redevelop the site. Temporary Occupancy Permits are expected to be obtained by 2013.
Ms Sng Ngoi May, chairman of the Orchard Road Business Association, said competition is inevitable but views the new development as the missing piece of the puzzle.
“The three adjoining sites will enhance each others’ position. Right now, Discovery Walk is a blank wall till the centre clout is developed,” she said.
The redeveloped project includes a pedestrian bridge and underpass which will link the new development to the Great Eastern-owned Orchard Emerald site across the road.
But Ms Sng notes that cannibalisation is a real possibility if the supply of retail space falls short of retail spending. She said she hopes the integrated resorts and tourists from the redeveloped Hotel Phoenix will stoke demand for more retail space.
DTZ’s senior director of research Chua Chor Hoon said the 2013 estimated completion date could be an advantage.
“When they complete in 2013, they will be the only major shopping mall along Orchard road that is going to be launched,” she said.
Source: Today, 10 Jun 2010
Monday, June 7, 2010
Hotel rates seen rising 10-15%
Occupancy levels could rise 5-10 percentage points
(SINGAPORE) With tourist arrivals bouncing back, room rates and occupancy levels at Singapore hotels continue to rise, hosing down worries that the 4,000-plus rooms added by Resorts World Sentosa (RWS) and Marina Bay Sands (MBS) would depress the sector.
According to consultancy HVS Global Hospitality Services, the average room rate will rise 10-15 per cent this year from 2009's $191. And HVS managing director David Ling says that there is potential for rates 'to go higher'.
Despite the new rooms at the integrated resorts, Mr Ling reckons demand will outpace supply because the resorts are 'demand generators'.
He expects overall occupancy to climb 5-10 percentage points from last year's 76 per cent.
'MBS is a huge hotel,' he said. 'Sure, it will affect neighbouring properties in the short term - but consider the pick-up in arrivals and the pipeline of events. With the Singapore Airshow, Youth Olympic Games and Grand Prix, it will be a record year.'
In a recent report, Credit Suisse said that the casinos should boost visitor numbers as much as 20 per cent this year.
Singapore's tourism industry also benefits from the rebound of regional economies such as China, India, Malaysia and Indonesia. 'If those places are doing well, their people have more disposable income to travel,' Mr Ling said.
At the same time, the political upheaval in Thailand could lead travellers to look for alternative destinations, in which case neighbouring countries such as Singapore, Malaysia and Indonesia could pick up some of the spoils.
According to the Singapore Tourism Board, overall hotel room revenue rose a sharp 36.5 per cent year on year to $158 million in April. It was supported by events, such as Food&HotelAsia, and the six-day disruption to Europe-bound air traffic. The figures for May have yet to be released.
The average occupancy rate (AOR) jumped 15 percentage points in April to 85 per cent from a year back, while the average room rate (ARR) increased 12.2 points to $211. Revenue per available room (RevPAR) surged 36.1 per cent to $179.
At the Royal Plaza on Scotts, business was very healthy last month, with ARR, AOR and RevPAR all much higher year on year.
ARR was up 30 points to $280, AOR climbed 12 points to 90 per cent and RevPAR 46 points to $248.
The meetings, incentives, conventions and exhibitions (Mice) industry is also picking up, industry players say.
'We're getting a lot more corporate enquiries for meetings,' said Nancy Tan, managing director of conference organiser Ace:Daytons Direct. 'Last year, the market was quite bad as they held back.'
As companies cut costs during the downturn, budgets and corporate meetings were cut back.
But Ms Tan said that companies are still cautious about how much they pay. 'That is something we'll have to manage, since manpower costs have gone up,' she said.
Suntec Singapore expects a 10 per cent increase in the number of events it hosts this year and a 5-10 per cent increase in visitor numbers.
Last year it hosted 1,408 events, down from 1,575 in 2008.
'We expect a stellar performance this year,' said director of sales and client services Ong Wee Min.
Source: Business Times, 7 Jun 2010
(SINGAPORE) With tourist arrivals bouncing back, room rates and occupancy levels at Singapore hotels continue to rise, hosing down worries that the 4,000-plus rooms added by Resorts World Sentosa (RWS) and Marina Bay Sands (MBS) would depress the sector.
According to consultancy HVS Global Hospitality Services, the average room rate will rise 10-15 per cent this year from 2009's $191. And HVS managing director David Ling says that there is potential for rates 'to go higher'.
Despite the new rooms at the integrated resorts, Mr Ling reckons demand will outpace supply because the resorts are 'demand generators'.
He expects overall occupancy to climb 5-10 percentage points from last year's 76 per cent.
'MBS is a huge hotel,' he said. 'Sure, it will affect neighbouring properties in the short term - but consider the pick-up in arrivals and the pipeline of events. With the Singapore Airshow, Youth Olympic Games and Grand Prix, it will be a record year.'
In a recent report, Credit Suisse said that the casinos should boost visitor numbers as much as 20 per cent this year.
Singapore's tourism industry also benefits from the rebound of regional economies such as China, India, Malaysia and Indonesia. 'If those places are doing well, their people have more disposable income to travel,' Mr Ling said.
At the same time, the political upheaval in Thailand could lead travellers to look for alternative destinations, in which case neighbouring countries such as Singapore, Malaysia and Indonesia could pick up some of the spoils.
According to the Singapore Tourism Board, overall hotel room revenue rose a sharp 36.5 per cent year on year to $158 million in April. It was supported by events, such as Food&HotelAsia, and the six-day disruption to Europe-bound air traffic. The figures for May have yet to be released.
The average occupancy rate (AOR) jumped 15 percentage points in April to 85 per cent from a year back, while the average room rate (ARR) increased 12.2 points to $211. Revenue per available room (RevPAR) surged 36.1 per cent to $179.
At the Royal Plaza on Scotts, business was very healthy last month, with ARR, AOR and RevPAR all much higher year on year.
ARR was up 30 points to $280, AOR climbed 12 points to 90 per cent and RevPAR 46 points to $248.
The meetings, incentives, conventions and exhibitions (Mice) industry is also picking up, industry players say.
'We're getting a lot more corporate enquiries for meetings,' said Nancy Tan, managing director of conference organiser Ace:Daytons Direct. 'Last year, the market was quite bad as they held back.'
As companies cut costs during the downturn, budgets and corporate meetings were cut back.
But Ms Tan said that companies are still cautious about how much they pay. 'That is something we'll have to manage, since manpower costs have gone up,' she said.
Suntec Singapore expects a 10 per cent increase in the number of events it hosts this year and a 5-10 per cent increase in visitor numbers.
Last year it hosted 1,408 events, down from 1,575 in 2008.
'We expect a stellar performance this year,' said director of sales and client services Ong Wee Min.
Source: Business Times, 7 Jun 2010
Friday, June 4, 2010
Asia-Pac pips Americas in hotel sales
Perth, HK and S'pore are ranked highly by investors, says Jones Lang LaSalle Hotels
SALES of hotels in the Asia-Pacific have surpassed that in the Americas for the first time, as investors flock to the region, according to a study.
The Jones Lang LaSalle Hotels (JLLH) report Hotel Investment Highlights shows that the Asia-Pacific chalked up US$3.3 billion of hotel sales last year, outstripping the Americas' US$2.2 billion. The region was also the only one to post growth - 19 per cent.
Transactions in Europe, the Middle East and Africa fell 65 per cent and those in the Americas, 78 per cent.
Sales in the Asia-Pacific are tipped to grow to US$3.7 billion this year - 29 per cent of the US$12.8 billion global total.
'After a year of stagnation, rebounding confidence in the trading outlook has translated into an increase in buy sentiment,' said JLLH managing director for investment sales (Asia) Mike Batchelor.
'Buying is now the most favoured investment strategy across the Asia-Pacific which bodes well for an inevitable impact on pricing as investors compete to secure only a limited number of assets in the second half of the year.'
According to the JLLH report, Asia-Pacific markets ranked highly by investors in hotels include Perth (45.5 per cent), Hong Kong (45.5 per cent) and Singapore (44.4 per cent).
'Hotels in the Asia-Pacific are again in demand,' Mr Batchelor said. 'We expect the overwhelming majority of Asian owners to continue to be the most active hotel buyers in the world.'
While global hotel sales fell sharply in 2008 and 2009, Asia went against the grain, growing 22 per cent in that time. This reflects investor confidence in the region as well as the stronger balance sheets of its individuals and companies during the downturn.
Noteworthy transactions in the past 12 months include local company Keck Seng's purchase of the W San Francisco early last year.
The JLLH study also highlights that previously overlooked segments such as mid-scale and budget hotels are attracting interest among investors, since these segments can offer significant returns.
Source: Business Times, 4 Jun 2010
SALES of hotels in the Asia-Pacific have surpassed that in the Americas for the first time, as investors flock to the region, according to a study.
The Jones Lang LaSalle Hotels (JLLH) report Hotel Investment Highlights shows that the Asia-Pacific chalked up US$3.3 billion of hotel sales last year, outstripping the Americas' US$2.2 billion. The region was also the only one to post growth - 19 per cent.
Transactions in Europe, the Middle East and Africa fell 65 per cent and those in the Americas, 78 per cent.
Sales in the Asia-Pacific are tipped to grow to US$3.7 billion this year - 29 per cent of the US$12.8 billion global total.
'After a year of stagnation, rebounding confidence in the trading outlook has translated into an increase in buy sentiment,' said JLLH managing director for investment sales (Asia) Mike Batchelor.
'Buying is now the most favoured investment strategy across the Asia-Pacific which bodes well for an inevitable impact on pricing as investors compete to secure only a limited number of assets in the second half of the year.'
According to the JLLH report, Asia-Pacific markets ranked highly by investors in hotels include Perth (45.5 per cent), Hong Kong (45.5 per cent) and Singapore (44.4 per cent).
'Hotels in the Asia-Pacific are again in demand,' Mr Batchelor said. 'We expect the overwhelming majority of Asian owners to continue to be the most active hotel buyers in the world.'
While global hotel sales fell sharply in 2008 and 2009, Asia went against the grain, growing 22 per cent in that time. This reflects investor confidence in the region as well as the stronger balance sheets of its individuals and companies during the downturn.
Noteworthy transactions in the past 12 months include local company Keck Seng's purchase of the W San Francisco early last year.
The JLLH study also highlights that previously overlooked segments such as mid-scale and budget hotels are attracting interest among investors, since these segments can offer significant returns.
Source: Business Times, 4 Jun 2010
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