Credit: Siti Rahmanah Mat Daud / UnsplashHospitality around Asia-Pacific - The 2021 Vision Board
February 2, 2021Real Estate
 |
WRITTEN BY:
ROBERT WILSON Chairman Minett Prime Square 
|
The panel members were Tasos Kouslogolou, CEO – Hotel Division, Sun Hung Kai Properties; Sameer Nayar, Executive Vice President – Strategic Development, Oberoi Hotels and Resorts; Mei Ping, Chief Representative – China, Capella Hotel Group; Rainer Stempfer, President – Hotel Operations APAC, Four Seasons hotels and Dan Vovil, Co-founder & President. Odyssey Group. The moderator was Robert Wilson of Minett Prime Square.
COVID-19 has had a devastating impact on the hospitality and travel industries in most markets over the past year. Hotel occupancies and revenues were crushed as the pandemic spread across the region and international travel virtually came to a standstill.
The panel discussed both the common and unique challenges they face across the Asia Pacific hospitality industry and how the hospitality business in Asia Pacific is likely to recover.
Some of the challenges include the funding of new projects, managing operating expenses, owner/operator relationships and mitigating ongoing risk factors.
Both hotel owners and operators have reacted quickly to address the challenges sharing innovations and strategies. The strengthening of cooperation is clearly positive and productive.
Reducing fixed costs, flexible operating structures and maximising space utilization were seen as being vitally important. The strength of domestic markets across the region was surprising and has presented new opportunities for revenue growth.
Hygiene considerations will heavily influence hotel workspaces and conditions and should enhance employee performance and job satisfaction.
Recovery will be mainly driven by government policies and health considerations however the hospitality business is likely to recover strongly once travel restrictions are minimized or eliminated. It will also recover with much greater emphasis on flexibility in relationships, operating approach, productivity, and utilization of assets.
Owners and investors will be actively pursuing projects that are mixed use or adaptive re-use. Spaces within hotels are more likely to include work areas, provide for extended stay guests, co-living, and retail.
Diversification in revenue sources, flexible operating structures and space use should enhance profit flow through and hence investment returns.
