SINGAPORE - Singapore hotelier Far East Hospitality (FEH) on Thursday (Sept 5) said it is opening its first hotel in Japan in the second quarter of next year, aiming to do so before the 2020 Tokyo Olympics, it told The Business Times.
Called Village Hotel Ariake Tokyo, the hotel will be the first under the group's Village brand outside of Singapore.
The 306-key hotel is owned under a 50-50 joint venture between FEH and Far East Organization, and is located in Koto City in the eastern part of Tokyo, near the Ariake waterfront area.
Within the hotel's vicinity is wholesale seafood and food market Toyosu Market, convention centre Tokyo Big Sight and Tokyo 2020 Olympics venue Ariake Arena.
FEH chief executive Arthur Kiong said Japan's hotel industry is seeing a steady growth in demand, specifically from the mid-tier market in neighbouring countries.
"Ahead of the 2020 Tokyo Olympics, we see this regional expansion as an opportunity to raise brand exposure in this major international gateway city," he said, adding that Japan's reputation as a family-friendly destination also resonates well with the Village brand DNA.
FEH has also announced the names of its two Vietnam boutique hotels, which are under a hotel management agreement with developer Five Elements Development.
Hotel Reve and Suzu Hotel are expected to open in the first half of 2020 and will target affluent travellers from China, Australia and the US, identified as key target markets.
Hotel Reve is a 56-key property inspired by Vietnam's art and antique street Le Cong Kieu. The 30-key Suzu Hotel meanwhile, is located in Vietnam's Japan Town, and also comprises an onsen, omakase restaurant and tatami rooms.
As for the Singapore market, FEH said that since the April 2019 launch of its Village Hotel Sentosa and The Outpost Hotel Sentosa, occupancies have been "steadily increasing".
Some 80 per cent of room bookings are from international markets, with a significant share coming from China and Australia. The remaining 20 per cent comes from Singaporeans.
The hotelier's third hotel in Sentosa - The Barracks Hotel Sentosa - is expected to open at the end of 2019. The Clan Hotel, a 324-room property targeting business travellers, is slated to open in the second quarter of 2020.
Far East Hospitality Trust shares were trading flat at $0.68 on Thursday as at 12.40pm.
