In Brief: The latest bulletin from HVS highlights the most recent transactions in the Asia-Pacific hotel industry, providing a comprehensive overview of changes in property ownership and management for the week ending 12 June 2026.
United Urban Acquires Two Hotels for JPY5.1 Billion in Japan
Japan-based real estate investment trust United Urban Investment Corporation (“United Urban”) has agreed to acquire two hotel assets in Japan for a combined JPY5.1 billion. The acquisitions comprise the 40-key Grand STAY Hakata Station North in Fukuoka and the 40-key GRIDS TOKYO UENO HOTEL + HOSTEL in Tokyo, acquired for JPY1.85 billion and JPY3.25 billion, respectively. This translates to JPY46.1 million and JPY81.3 million per key, respectively. Grand STAY Hakata Station North is a 10-storey apartment hotel completed in February 2021 and located approximately 13 minutes’ walk from Hakata Station, one of Kyushu’s key transportation hubs. GRIDS TOKYO UENO HOTEL + HOSTEL is a 10-storey hybrid hotel and hostel completed in September 2019, located a one-minute walk from JR Ueno Station. The two hotels were acquired with an apprisal NOI yield of 5.2% and 4.2% respectively, with both acquisitions expected to be completed in June 2026.
Oscars Group Acquires Hotel Diplomat for AUD20 Million in Sydney, Australia
Australia-based hospitality owner and operator Oscars Group has acquired the 51-key Hotel Diplomat in Potts Point, Sydney, for approximately AUD20 million, translating to approximately AUD392,000 per key. Situated on Bayswater Road approximately two kilometres east of Sydney’s Central Business District, Hotel Diplomat occupies a five-storey building and includes facilities such as a ground-floor bar and bistro, and two retail tenancies. The property was previously acquired by former Australia-based Public Hospitality Group (“PHG”) owner Jon Adgemis as The Bayswater Sydney Hotel for AUD16.5 million in 2022 before undergoing refurbishment works. The transaction forms part of the ongoing divestment of assets formerly held by PHG following the group’s collapse and receivership process.
MREIT Makes Hospitality Debut with Holiday Inn Express Manila Newport World Resorts Acquisition in The Philippines
MREIT, Inc., the real estate investment trust sponsored by Philippines-based Megaworld Corporation (“Megaworld”), is set to acquire the 737-key Holiday Inn Express Manila Newport World Resorts, The Philippines, as part of a broader 12-asset portfolio transaction, marking the REIT’s first hospitality investment. The assets will be acquired from Megaworld, sister company Travellers International Hotel Group Inc., and Southwoods Mall Inc. Located within the Newport City complex and a 10-minute walk from Ninoy Aquino International Airport, the property offers amenities including two food and beverage outlets, a fitness centre, and a meeting room. The wider acquisition package also comprises five lifestyle malls and six Grade A office buildings. Upon completion, the transaction is expected to diversify MREIT’s portfolio composition to approximately 77% office, 20% retail, and 3% hospitality assets, compared with its current portfolio, which is more than 95% weighted towards office properties. The acquisition forms part of MREIT’s strategy to broaden its asset base and enhance portfolio diversification across different real estate sectors.
AB Capital Expands Japan Hospitality Portfolio with Two-Hotel Acquisition in Kanagawa, Japan
Hong Kong-based AB Capital Investment Limited (“AB Capital”) has acquired two hotels in Kanagawa Prefecture through its AB Capital Fund II, bringing its hospitality portfolio in Japan to 14 assets. The transaction price was not disclosed. The acquisitions comprise the 263-key 3S Hotel Atsugi and the 138-key 3S Hotel Hiratsuka, both located within the Greater Tokyo region with direct rail connectivity to central Tokyo. Between 2021 and 2024, both properties underwent upgrades that incorporated specialised public bath and sauna facilities under the “Shonan Sauna & Stay” wellness concept. Through the acquisition, AB Capital aims to further diversify its hospitality portfolio and reduce its exposure to fluctuations in inbound tourism demand, while strengthening its presence in Japan’s regional lodging market.
Singapore Lifts Accommodation Development Restrictions in Heritage Precincts
The Singapore government has announced a policy change that will lift longstanding planning restrictions on new hotels, backpackers’ hostels, and serviced apartments within the Beach Road and Upper Circular Road precincts. Both areas are recognised heritage districts. Beach Road has undergone significant transformation in recent years and now accommodates a mix of office developments, hotels, residences, and lifestyle-led mixed-use projects. Upper Circular Road, located near the Singapore River and Boat Quay, is characterised by conserved shophouses, restaurants and bars, boutique offices, and nightlife-related uses. The existing planning controls, introduced more than a decade ago, generally prohibited new hotels, hostels, and serviced apartments in these precincts due to concerns that an overconcentration of tourism accommodation could displace traditional businesses and erode the areas’ heritage character. The policy revision is expected to provide developers and property owners with greater flexibility in repositioning and redeveloping older assets, while supporting a broader range of visitor accommodation options in central Singapore. The move is also anticipated to increase footfall and commercial activity within these heritage districts, contributing to their continued revitalisation.
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