Five-star hotel brands are ready to receive travelers back to the country with the strong belief that the tourism industry is coming back to life.
IHG, the owner of many strong brands, including Six Senses and InterContinental, has announced a plan to develop more hotel and resort projects in Vietnam in the next two years. It now has 13 hotels in Vietnam with the total capacity of 3,700 rooms.
IHG also plans to introduce three new brands in the next two years, namely Regent in Phu Quoc, voco™ Hotels in Da Nang and Hotel Indigo on Ly Tu Trong street, district 1, in HCM City.
Crowne Plaza is also planning to increase its presence in large cities, gateway cities and tourism destinations, including Phu Quoc, Binh Duong, Can Tho, Bac Ninh and Vinh Phuc. Its Holiday Inn Resort Ho Tram in Ba Ria – Vung Tau is expected to open soon.
According to Savills Hotels, foreign investors are paying attention to scaling up their business in Vietnam, leading to the sharp increase in the number of resort projects.
A lot of new brands have been introduced in the market in the last three years, including Ozo and X2 Vibe, now present at New Hoi An City project; Double Tree By Hilton in Ha Long, Vung Tau and Hanoi; Four Seasons in Quang Nam and Hanoi; Oakwood and Mai House in HCM City; and Glow in Da Nang.
Mandarin Oriental, one of the world’s leading luxury hotel groups, has announced cooperation with Union Square Saigon to develop the 5-star Mandarin Oriental Saigon.
Savills Vietnam has noticed the steady increase in number of 4-5-star resorts with international brands year after year. In 2010, there were 33 such resorts only, while the figure rose to 74 in 2019 and it is expected to increase to 160 by 2022.
Mauro Gasparrotti of Savills Hotels Asia Pacific said international hotel brands now have high interest in Vietnam.
Resort projects have caught higher attention than in previous years thanks to higher quality of products, better design, and higher confidence of international management companies, as well as investors’ wish to create differentiated products.
High hopes for tourism recovery
JLL’s report on Vietnam’s tourism market show that the increasingly high number of travelers and growing economy make the Vietnamese hotel and resort market attractive to regional investors.
Serena Lim form IGH, in charge of Southeast Asia and South Korea, commented that there are great opportunities to develop tourism in secondary cities, industrial areas and satellite areas around Hanoi and HCM City, and emerging cities such as Binh Duong, Can Tho and Hai Duong.
Besides, emerging resort destination points such as Quy Nhon, Da Lat, Phan Thiet and Hoa Binh also deserve investments.
Many hotels have been put on sale in Nha Trang and Danang cities due to losses caused by the Covid-19 pandemic.
Many offers to sell coastal hotels in Da Nang have appeared on real estate forums these days. Most of them are located in districts Son Tra and Ngu Hanh Son.