Jones Lang LaSalle Hotels as exclusive advisor to Ishin Hotels Group announces the sale of Hilton Otaru in Japan's Hokkaido prefecture to Park Hotel Group.
Currently managed by Ishin Hotels Group under a franchise agreement with Hilton International, Hilton Otaru will be re-branded by Park Hotel Group as Grand Park Otaru.
Set within Wing Bay Otaru, one of Hokkaido's largest indoor shopping malls, Hilton Otaru overlooks Ishikari Bay. The 296-room full-service hotel features four food and beverage outlets, and an extensive range of meeting facilities including wedding chapels. The hotel is directly connected via a walkway to JR Otaru Chikko station, which is on the main JR Hakodate line.
"We are delighted to be able to announce the successful closure of the sale of Hilton Otaru under the current financial environment," said Mr Tom Sawayanagi, Managing Director Japan, Jones Lang LaSalle Hotels.
The acquisition of Hilton Otaru is Park Hotel Group's first in Japan. "Noting the slowdown in investment activity by private equity funds, the sale demonstrates demand by Asian investors who are relatively free from non-recourse lending and may find opportunities in the current market," said Mr Sawayanagi.
Blessed with a natural coastline and mountain wilderness, Otaru is a popular resort destination with diverse marine attractions, historical buildings, and cultural attractions. Situated only 30 minutes from Sapporo, the harbour port town of Otaru is famous for its abundant seafood and is revered for the quality of its sushi.
In 2007 Otaru welcomed 7.4 million visitor arrivals. Supported by robust domestic demand and continued growth in international visitor arrivals from major source markets such as Taiwan and Korea (ROK) to the Hokkaido region as a whole, the market is expected to maintain a steady balance in visitor arrivals.
Singapore-based Park Hotel Group currently owns and manages seven hotels in Singapore, China and Hong Kong. This includes its recent acquisition of the 338-room Grand Castle Hotel Xian, which will be re-branded as Grand Park Xian. Jones Lang LaSalle Hotels was also exclusive advisor on this sale.
Based in Tokyo, Ishin Hotels Group owns and operates 24 hotels in Japan. The Group is responsible for the successful management and repositioning of Hilton Otaru in both the domestic and inbound leisure markets.