Hotel industry and travel news from around the Asia Pacific region: Victorian government to turn Mount Buffalo into a year-round tourism destination, New Zealand lifts remaining restrictions and more...
BBCC and Mitsui Fudosan in Joint Venture to Acquire Serviced Residence for RM242 Million
Malaysia-based BBCC Development Sendirian Berhad (“BBCC Development”) and Japan-based Mitsui Fudosan Company Limited’s Malaysia unit, Mitsui Fudosan (Asia) Malaysia Sendirian Berhad (“MFAM”), have formed a joint venture (“JV”) to acquire a block of serviced apartments at Bukit Bintang City Centre in Malaysia (“BBCC”) for RM242 million. MFAM will hold 51% and BBCC Development 49% in the JV company, named MFBBCC Serviced Suites Sendirian Berhad. BBCC Development will manage and operate the property including granting of tenancies of units within the property. Located on a 7.85-hectare site, BBCC is poised to be the new gateway into the Kuala Lumpur golden triangle and future centre of greater Kuala Lumpur. The 44-storey serviced residence block will house 269 units and is expected to be completed by end 2023. Apartment layout include one- to three-bedroom apartments with built-ups ranging between 49 and 110 square metres. The serviced apartment’s facilities will include a swimming pool, yoga deck, gym, library, children play area, business centre and multi-purpose room. The masterplan for BBCC comprises a retail mall, an entertainment hub, four blocks of serviced apartments, a lifestyle hotel, three blocks of strata and corporate offices and an 80 storey three-in-one signature tower that will encompass corporate offices, a five-star hotel and luxury residences.
Bashan Investment Group Acquired 80% Controlling Stake of Hotel Uzbekistan for USD23.2 Million
Singapore-based holding and television production company, Bashan Investment Group Private Limited (“Bashan”), has acquired 80% minority stake in the 254-key Hotel Uzbekistan from the Uzbek government for USD23.2 million. The sale is part of the Uzbek government’s plan to privatise their assets. Bashan plans to invest nearly USD40 million in modernising the 17-storey hotel over the next 18 months. However, terms of the tender require the building's facade to remain unchanged for the next ten years. According to Uzbekistan -based Otel O’zbekistan LLC, the hotel owner, the hotel had been profitable for three years before the tender was announced in 2019 and showed no overdue debt. The State Asset Management Agency revealed that, in the first five months of 2020, the state had successfully privatized 299 state-owned assets, including Hotel Uzbekistan and the Chorsu Hotel near the capital’s main market.
Victorian Government Announced AUD1.5 Million 'Eco-Pod' Funding for Mount Buffalo
The Victorian government has announced an AUD1.5 million funding to turn Mount Buffalo into a year-round tourism destination through the support for new luxury alpine eco-pods. The plan is part of the government’s AUD2.7 billion Building Works package. An Expression of Interest (“EOI”) process to seek private investment for a cafe within the Mount Buffalo Chalet was also instigated. The café will be situated in the front part of the chalet, offering regional produce along with self-guided tours of the Chalet ballroom. Presently, Mount Buffalo attracts more than 230,000 visitors annually. The addition of a new accommodation and a potential new cafe is anticipated to draw more visitors in summer to hike, camp and kayak. The government has previously committed AUD1.5 million to upgrade the Gorge Visitor Centre Area within the Mount Buffalo National Park. The project has been carried out in two stages. The stage two works featuring a new lookout are nearly complete and will enhance Mount Buffalo National Park’s appeal as an all-seasons destination. The Victorian Government is working with the Alpine Shire to ensure any planning restrictions are resolved ahead of the EOI process, which is expected to start in late 2020.
New Zealand Announced No Community Cases and to Lift Remaining Restrictions
New Zealand Prime Minister Jacinda Ardern has announced that New Zealand has eliminated local transmission of the coronavirus and will lift all containment measures except for border controls. The government has moved the national alert from Level 2 to Level 1. Public and private events, the retail and hospitality industries and all public transport could resume without social distancing norms. This has come after 75 days of restrictions including approximately seven weeks of strict lockdown in which most businesses were shut and everyone except essential workers had to stay at home. Nonetheless, border controls would remain and everyone entering the country would be tested. Plans to establish a “travel bubble” with Australia remains under consideration.
Siam Premium Outlets Bangkok to Open Adjacent to Bangkok Suvarnabhumi Airport
Siam Piwat Simon Company Limited (“SPS”), a joint venture between Thailand-based Siam Piawat and US-based Simon Property Group, has announced the opening of Siam Premium Outlets Bangkok near Bangkok Suvarnabhumi Airport. Scheduled to open on 19 June 2020, Siam Premium Outlets Bangkok will be the second shopping outlet near the airport competing with Central Village by Thailand-based Central Pattana Plc (‘CPN’). The outlet is situated on Motorway No.7 which connects to other eastern destinations in Thailand such as Pattaya and Rayong. It will take approximately 15 minutes to drive to the airport and approximately 30 minutes to Bangkok city centre. The outlet will offer up to 70% discount on global luxury brands, international and local fashion, sportswear, and leather goods. Sixty of the brands featured in the centre are exclusive at Siam Premium Outlets Bangkok. Michael Tang, managing director of SPS, stated that the outlet mall will partner with other nearby key tourist attractions to enhance the appeal of the area as a major local and tourist destination.
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