Asia Pacific Hotel Trends

Transcription

1 Asia Pacific Hotel Trends Transaction volume remains steady retain strong appetite for hotels Activity picks up in Hong Kong Other active markets led by Australia and Vietnam Singapore remains subdued Automation a growing trend

2 Contents 03 Feature Article 07 Singapore 04 Overview 08 Thailand 05 Hong Kong 09 Vietnam 06 South Korea 10 Australia 2

3 Automation in the hospitality sector 3

4 2010 Q Q Q Q Q Q Q Q1 US$ billion US$ billion Overview Asia Pacific Hotel Investment Turnover Source: CBRE Research,. Transactions include hotel deals above US$10 million, excluding site and related transactions. Asia Pacific Rolling 4 quarters total (rhs) 4

5 US$ billion Hong Kong Property Companies Corporations Some hotels have been acquired by investors who intend to convert the property to alternative use such as offices or serviced apartments. The large volume of new hotel supply will create a more challenging operating environment. Hotels outside prime locations and with below par management may struggle. Kwun Tong Causeway Bay Tsuen Wan 0.0 Source: CBRE Research,. Transactions include hotel deals above US$10 million. 5

6 US$ millions South Korea Corporations REITs Chinese arrivals to South Korea fell 40% in March as tour groups cancelled trips in protest over the deployment of a U.S.-built missile defense system. There continues to be a shortage of mid-range priced accommodation compared to the large number of high-end and low-cost rooms. Seoul Seogwipo 1,200 1, Source: CBRE Research,. Transactions include hotel deals above US$10 million. 6

7 US$ billion Singapore REITs New supply in the pipeline includes a 130 room hotel in the new Jewel Changi Airport expansion operated by international hotel brand YOTEL. Property Funds The Singapore Tourism Board has launched a major marketing drive to attract travellers from within six hours flight to stop over in the city as well as draw more MICE clients Source: CBRE Research,. Transactions include hotel deals above US$10 million. 7

8 US$ million Thailand REITs Property Companies During the quarter Dusit Thani PLC announced it had renewed the lease on its site at Saladaeng intersection in Bangkok and will redevelop the existing hotel into a mixed use project. The decline in Chinese arrivals is slowing but continues to negatively impact hotels catering to the low budget market Source: STR and CBRE Research,. Transactions include hotel deals above US$10 million. 8

9 Millions Vietnam Property Companies Corporations The large number of new developments, which are largely of a resort nature with many villa developments proposed, is stirring concerns regarding potential oversupply. Vietnam continues to see an influx of international hotel management corporations setting up operations in the country. Phu Quoc Source: CBRE Research,. Transactions include hotel deals above US$10 million. 9

10 US$ billion Australia Property Companies An increasing number of global hotel operators have identified Australia as a growth centre and are expanding into a number of key markets. Corporations Perth continues to attract attention from investors seeking countercyclical plays. Cairns and the Gold Coast are seeing some interest but there is a lack of stock for sale in both markets. Melbourne Source: CBRE Research,. Transactions include hotel deals above US$10 million. 10

11 Q Contacts APAC Research Henry Chin, Ph.D. APAC Hotels Robert McIntosh Ada Choi, CFA Edmond Wong Jonathan Hills Jiahao Zhang Naoki Yoshiyama Wesley Milsom Disclaimer: Information contained herein, including projections, has been obtained from sources believed to be reliable. While we do not doubt its accuracy, we have not verified it and make no guarantee, warranty or representation about it. It is your responsibility to confirm independently its accuracy and completeness. This information is presented exclusively for use by CBRE clients and professionals and all rights to the material are reserved and cannot be reproduced without prior written permission of CBRE.