Hilton Garden Inn Introduces Project Accelerator for Hotel Developers

Those familiar with my preferences know that I am not easily impressed. I tend to see things in a straightforward manner with few gray areas. However, I must admit that I was genuinely inspired by the recent launch of Hilton Garden Inn’s recent innovative development model roll-out in Bangkok.

While Hilton categorizes it as “Upper Midscale,” to me, it represents an excellent and affordable project that aligns well with market demands. Here are some compelling reasons why I find it appealing:

1. Thoughtful Design: This product was meticulously crafted by experienced designers who considered extensive customer research and specific nuances inherent in various Asia Pacific models. The space planning is both precise and guest-centric.
2. Owner-Centric Approach: Hilton has approached this prototype with a focus on owners’ returns. In Thailand, the estimated cost per room is THB3 million, with an additional THB400,000 allocated for furniture, fixtures, and equipment (F, F, and E). Given the anticipated average room rate of THB2,500 in most Thai locations, it presents a financially sound model.
3. Cost Certainty in Inflationary Environments: For hotel developers aiming for returns during the pre-construction phase, having a clear understanding of costs in a high-inflation environment serves as a valuable risk mitigation strategy.
4. Prefabrication/Components: A noteworthy advantage is that a significant portion of the hotel room fit-out has been designed as components that can be prefabricated in Vietnam. Why Vietnam over China? Vietnam has been chosen due to fewer supply chain disruptions. Only the bathroom fixtures and fit-out are exceptions and not part of the components.
5. Enhanced Build Efficiency: A persistent challenge for midscale hotels is ensuring build quality. This prototype promises faster and more efficient construction and installation processes, ultimately delivering a superior product to guests and ensuring quality finishes for property owners. It also streamlines design processes, eliminating the need to reinvent the wheel. Additionally, Hilton provides support for F, F, and E procurement.

Summing it all up, I rate the new Hilton Garden Inn model as a strong contender for urban, micro markets, and high-growth resort properties located away from the beach. The substantial investment of time and resources by Hilton in developing such a practical and developer-friendly module deserves strong consideration by mid-scale hotel developers.

To connect to Hilton in Asia and learn more about the model CLICK

The 161-room Andaman Beach Hotel Phuket has affiliated with the new ACCOR Handwritten Collection.

A fourth-quarter opening this year is planned. It is the first property under Handwritten in Thailand.

Hotel brand conversions and repositioning remain a strong trend across the region.

Here in Phuket, expect another conversion of an existing property and rebranding announcement soon, following the transaction of the hotel.

As Southern Thailand’s Andaman coast experiences the onset of the rainy monsoon season, the vibrant surf culture in Khao Lak comes alive. At the heart of this burgeoning aqua sports scene is the famed Memories Beach in Pakarang, drawing an excited blend of both Thai and international travelers.

The surf scene in Khao Lak has flourished in recent years, with a significant contribution from trailblazers like Bert Berger, the visionary behind Sunova Surfboards. Back in 2016, the company relocated its factory to this region, kickstarting a trend. Presently operating under The Board Factory, this successful start-up has expanded its horizons beyond surfboards to encompass SUPs, windsurfs, and kiteboards. Visitors stepping in are greeted by an exhilarating skatepark, setting the stage for an engaging factory tour.

No visit to Memories Beach is complete without basking in the shade and savoring refreshments or a meal at the Karkinos Beach Club. The club’s sustainable design, incorporating natural materials and a sand bar, is an Instagram-worthy attraction. The genius behind this awe-inspiring Mad Max/Robinson Crusoe structure is none other than Phuket architect Joe Sanya from Architects11, making it the go-to destination for the quintessential West Coast sunset experience.

GARANG Artisan Ice Cream, another local start-up sensation, has triumphed in this landscape. Here, gelato is meticulously handcrafted, incorporating local flavors that pay homage to the essence of Khao Lak. Situated in Bangsak, the vibrant, colorful shop boasts boho-chic interiors and surf-inspired artwork, creating a distinct neighborhood ambiance.

In the midst of the COVID-19 pandemic, Khao Lak experienced an influx of Thai visitors, including the trendy denizens of Bangkok who embraced the art of surfing at Memories Beach. Presently, the area is swiftly transitioning into an urban retreat and a favored destination for small-scale start-up tourism ventures. This revival is backed by robust economic foundations, where off-beach land just a short 2-3 minute drive away from the shore costs around THB4-5 million per rai. In contrast, the property prices in Phuket have soared to THB10-15 million per rai or even more.

What’s clearly evident to these emerging businesses is the shared advantages of airport accessibility, captivating West-facing sunsets, and pristine stretches of white sand beaches that rival those of the neighboring tourism behemoth, Phuket. The Khao Lak and Phang Nga Hotel Market Update Report by C9 Hotelworks reveals that despite approximately 10,000 registered hotel rooms, supply and demand remain favorable. The entry of international hotel chains has also paved the way for specialized opportunities for smaller properties.

Two segments poised for substantial growth are boutique hotels catering to surf and outdoor enthusiasts, as well as long-stay villa estates offering a resort-like experience. Compared to other Thai beach-focused destinations, Khao Lak presents lower barriers to entry in the market.

Journeying to Khao Lak has been made incredibly convenient with the introduction of a four-lane highway, significantly shortening the travel time from Phuket International Airport to just over an hour. A notable stop on this journey is 076 at Thai Muang. This enchanting garden oasis pays tribute to Phang Nga’s agricultural heritage, seamlessly combining a café, relaxing spaces, and locally inspired shopping. The brainchild of Sii Eawsakul, a prosperous internet entrepreneur and luxury travel aficionado hailing from the region, this labor of love serves as a homage to her roots.

In the wake of the post-COVID-19 tourism recovery across Southeast Asia, C9 Hotelworks is receiving a large volume of inquiries about off-market investment opportunities.

As a response to this,  as part of our hospitality advisory services, we have now added a specialized in-house team that covers Thailand and Southeast Asia for hotels, resorts, and branded residences.

Presently we have a number of off-market properties for sale, that can be reviewed on the following link HERE

C9 Hotelworks is excited to expand our advisory services to investment and if  you are interested to buy a hotel or resort, sell a property, or invest in the sector, please get in touch with us at CLICK

Phuket Hotels for Islands Sustaining Tourism), Southeast Asia’s biggest sustainability event for the travel and hospitality industries, is back with a bang this September with an energizing full-day forum headlined by one of the region’s most inspiring leaders: KP Ho, the founder of Banyan Tree Group and pioneer of Laguna Phuket.

He will be joined in a Double Bill by community advocate, artist and “maximalist” hotel designer, Bill Bensley, who will be interviewed by PHIST organizer Bill Barnett. KP Ho will be interviewed by David Johnson of Delivering Asia Communications.

Organized by Phuket Hotels Association, C9 Hotelworks and Greenview, PHIST 6 will be staged on 4^th September 2023 at SAii Laguna Phuket, returning to full capacity with approximately 1,000 travel and hospitality professionals expected to gather for a one-of-a-kind learning opportunity from across Asia Pacific.

KP Ho, journalist turned hotelier, understood the critical importance of sustainability before it became a buzzword. Having founded Banyan Tree, he was instrumental in the transformation of Laguna Phuket from a barren moonscape of scarred land – abandoned by the tin mining industry and declared as uninhabitable by the UN – into Southeast Asia’s leading integrated resort development.

This set the stage for the first luxurious and eco-sensitive Banyan Tree resort in 1994, featuring the world’s first pool villas. The company has now expanded to over 100 hotels and resorts, either operating or in the pipeline. The Banyan Tree Global Foundation has also been set up to support conservation and community development.

Bill Bensley has for 30 years designed many of the most outstanding hotels in Asia, winning a small armoury of world-leading awards and accolades for the deep respect that has been paid to their environments and purpose-driven nature. Like KP he will share his personal story and philosophy for just 100 guests at each session. Registration is available on a first come, first served basis.

In addition, guests can look forward to plenty of learning opportunities, with a series of 16 immersive workshops that will see industry experts share best practices on key and emerging green topics, including waste, renewables, certification, women leaders in sustainability and glamping. A “Green Think Tank” roundtable discussion will be led by Jesper Palmqvist, STR Global’s Area Director for Asia Pacific, with representatives from islands including Bohol, Bali, Koh Samui, Phuket, Phu Quoc, Singapore and the Maldives, while an “Eco Travel Show” will showcase eco-friendly products from exhibitors specializing in outdoor activities such as glamping. A “Farm-to-Table” workshop will let guests learn about the origins of food with two Michelin-starred restaurants in Phuket, and the “Women in Leadership”  session will highlight the issue of gender equality.

Jayne MacDougall, Executive Director of the Phuket Hotels Association, said: “We are delighted to announce the return of PHIST, Southeast Asia’s biggest sustainability event, for its sixth annual edition. This year, we’re back with a bang as we prepare to welcome 1,000 guests for a full-day itinerary that will shake up the industry, challenge traditional ideas and put learning centre stage. We are also excited to welcome KP Ho back to Phuket. As the man who did so much to stimulate the island’s tourism sector and advance the cause of sustainability, he is the perfect person to inspire our delegates. We look forward to seeing everyone at PHIST this September.”

For more information about PHIST 6, please visit PHIST 6 Website

To register, please visit: Eventbrite

In partnership with KBank Private Banking and UOB Asset Management Thailand, growing co-living group HOMA has closed a private equity raise of 1.2 billion Thai Baht (USD 34.2 million). The mutual fund was marketed to institutional and high-net-worth investors in Thailand. The proceeds from this capital raising will support HOMA’s commitment to introducing more affordable rental housing projects in Thailand while generating attractive returns to its investors.

HOMA is backed by Asia Capital Real Estate a global real estate private equity firm, and NOON Capital, a Thai residential developer. HOMA primarily targets young professionals, digital nomads, and families with young children, fostering dynamic living environments that encourage interactions among residents. With flexible lease periods ranging from one day to one year, HOMA caters to diverse needs. Sustainability is a key focus, as all HOMA projects are LEED and/or EDGE certified, which has received positive responses from global institutional investors. Additionally, all HOMA projects have secured approval from the Board of Investment (“BOI”) in Thailand, which allows for 100% foreign-owned freehold land ownership and other various incentives, thereby expanding the potential investor base.

The successful fundraise marks a milestone in HOMA’s expansion. With the secured funds, HOMA is positioned to expand on its pipeline, which includes projects in Phuket, Bangkok, and the Northern Thailand region. HOMA currently has two operational projects – HOMA Phuket Town and HOMA Si Racha – in Phuket and Chonburi respectively, and two additional projects under development – HOMA Cherngtalay and HOMA Chalong Bay (under contract) – in Phuket. HOMA Cherngtalay, a 423-unit residential complex located within the bustling Cherngtalay/Bangtao Beach district on Phuket’s west coast, is scheduled to open by the end of 2023, while HOMA Chalong Bay is expected to open in early-2025.

Thailand’s Destination Group has put its 8 hotels in Thailand on the market.

The sale is on an asset basis and there is an option to acquire the operating platform which  includes a corporate office set-up of just over 50 staff.

On the portfolio, the properties are –

Holiday Inn Resort Phuket Surin Beach – 256 keys

Radisson Resort & Suites Phuket – 179 keys

Radisson Red Phuket Patong Beach – 390 keys

Holiday Inn Resort Karon Beach – 224 keys

Radisson Resort and Spa Hua Hin – 243 keys

Holiday Inn Resort Pattaya – 318 keys

SocialTel Koh Samui – 121 keys

Mora Resort Khao Lak – 424 keys

Brokering the deal is CBRE and Finansa.

To look at the investment teaser CLICK

Standard International is set to launch two new hotel branded residence projects in Thailand.

In Phuket, a 222-unit Standard branded condominium by Sansiri will be located near Laguna Phuket and Boat Avenue in the Cherngtalay area, located on a land plot that was purchased from Boat Pattana.

According to the Bangkok Post the project is being developed by a Central Group affiliate and will be launched later in the year.

Units will range from one-bedroom units, 55 square meters up to large duplexes.

The mixed-use project will also include a 150-key Peri Hotel which is one of Standard’s brands, along with other lifestyle commercial components.

Sansiri will also develop a 258-unit Standard hotel branded condominium in Hua Hin.

Thai-listed group Sansiri is the major shareholder of the global Standard International hotel group.

On the Thai resort island of  Phuket, the Chergtalay, Laguna, Bangtao area is rapidly attracting institutional real estate investment with Sansiri and Central bringing a new set of property projects to the booming property landscape.