A greater part of Asia and the Middle East is coming under Centara
Hotels & Resorts’ radar as the Thai hotel chain unveils an
aggressive growth plan, not just in terms of its development pipeline
but also its target source markets.
While Centara continues to keep up its strong play in its Thailand
homeground, the hotel group is now stepping up its expansion momentum in
the regional markets in Southeast Asia, China, Japan, the Maldives and
the Middle East.
“Our vision for the next five years is to grow from 88 hotels to
18,000 rooms in operation and under development today to approximately
200 hotels and around 38,000 keys by 2026. These will be almost equally
distributed between Thailand and overseas,” said Markland Blaiklock,
deputy CEO at Centara Hotels and Resorts.
The Middle East, in particular, is set to play a more prominent role
for Centara looking ahead. Saudi Arabia is potentially “a source of
excitement” as a new market, following Thailand’s recent normalisation
of diplomatic relations with the country.
Blaiklock also expects Centara’s recent debuts in Oman and the UAE to
build awareness of the group in the Middle Eastern market, which will
potentially drive outbound demand for its properties in the Indian Ocean
and Thailand.
Elsewhere
in the region, Centara has been given the green light to develop two
new upscale resorts in the Maldives, which are slated to open in 2024
and 2025, doubling the group’s presence in the Maldives to four
properties.
Centara Grand Hotel Osaka will be the first Japan property for Centara Hotels & Resorts.
In Japan, Centara’s first property is set to launch in mid 2023 as a
landmark high-rise hotel in Osaka, while in Vietnam, Cosi Phu Yen Hotel
is scheduled to open in 2023 as the affordable lifestyle concept’s first
location outside Thailand.
Within Thailand, the luxurious Centara Reserve concept, which was
launched in December 2021 with the debut of Centara Reserve Samui, will
see additional properties in Krabi and potentially Koh Lanta and Cha Am.
As well, Centara is also exploring a new opportunity in the medical
wellness segment with an established operator from Europe.
In
anticipation of the “normalisation of travel in the region", Southeast
Asia and the Middle East will be a key focus for Centara this year, said
Blaiklock.
Thailand’s travel bubble with India — already a top market for
Centara’s properties in the Maldives — and Australia’s reopening will
work in favour of driving more inbound demand into its Phuket and other
resort properties across the region.
Looking ahead, Blaiklock expects an uptick in international visitors
in Q2, largely dominated by regional visitors as ASEAN borders open up,
followed by the return of long-haul markets in Q4.
The hotel operator has closed 2021 on a positive note, achieving an
increase of 54% year-on-year in its total revenues to almost 1.09
billion baht (US$33 million) in Q4 2021 despite the continued impact of
the pandemic.