Far East Hospitality has expanded into Vietnam with the signing of two boutique hotels in partnership with Five Elements Development in Ho Chi Minh by end-2019, signalling the start of a targeted long-term expansion across the country.
Five Elements Development’s Tran Hai Dang (left) with Far East Hospitality CEO Arthur Kiong (right).
Far East Hospitality CEO Arthur Kiong announced its partnership with the Vietnamese real estate company to manage and operate the new hotels during a media gathering on Wednesday (April 17).
The hotels––the 56-key Lê Công Kiều Hotel and 30-key Ngô Văn Năm Hotel––will be located in the city’s District 1. Room nights will be priced within between US$200- to US$300 a night.
The former hotel is located in a well-known antique shopping street, with amenities such as a basement steakhouse and wine cellar and an Indochine garden; the latter will take up residence in the city’s Japan quarter, featuring tatami rooms and a rooftop onsen.
The hotels are located within 20-minutes of the Tan Son Nhat Airport and Saigon Railway Station.
“Vietnam is one of the fastest growing tourism markets in the world with double-digit percentage increases in the country’s international arrivals since 2015. Furthermore, the Vietnamese government has also set a goal of 20 million foreign visitors by 2020,” said Kiong.
“Not only is there a high potential for international visitors, there is a strong domestic tourism market fuelled by a young and dynamic population that’s hungry for sophistication and travel,” said Kiong.
Kiong described Far East Hospitality’s plans to expand into Vietnam as a targeted approach that will inject 1,000 more rooms in key Vietnamese cities over the next five years.
He expects to add 500 rooms in capital Ho Chi Minh and the remaining 500 in Hanoi and Danang.
This is the next major expansion since the company entered the Australia and New Zealand market under a joint venture with Australia’s Toga Group that added more than 70 properties to its portfolio.