Development | design & construction - Issue 1 by Tha Lia

Development Design & Construction issue 1 | October 2011

GLOBAL STRATEGY Dr. Shahzad Nasim TREND WATCH FACADES & Movement

MAKING SENSE OF IN ROOM TECHNOLOGY

DESIGN INSPIRATION iconic living | Oriental Residence

with Terence Ronson

Development Design & Construction 03

Summary News

Project Profile:

from around Asia

The Oriental Residence

Global Strategy

Making Sense of Technology

Design Watch

with Dr. Nasim Global CEO Meinhardt

with Terrence Ronson

what’s happening on the web

Welcome to the first edition of Development | Design & Construction (D|D&C) D|D&C is a weekly online publication distributed to owners/developers, consultants, construction professionals, and suppliers within the hospitality industry in Thailand and further afield in Vietnam, Singapore and Hong Kong; covering primarily the South-East Asian region. Each issue will bring you the latest hospitality development news; profile the people, projects, and products making waves in the industry; and feature regular interviews and articles about the current topics in the industry. Through your support and contribution of ideas, content, and feedback, we will continue to bringing news and information important to you. We aim to be a publication for the industry, by the industry, and about the industry. In coming editions we will feature some of the top personalities in hospitality development including designers, developers and everyone in between! We hope you enjoy what we have compiled today and what’s to come in future editions! Yours, The Team at D|D&C

PRESENTER Thalia Andrews Editor Paul Snowden editor@qube-3.com ADVERTISING accounts@qube-3.com

QUBE ConsulƟng (Thailand) Co., Ltd 973 President Tower, 11th Floor, Ploenchit Road, Lumpini Pathumwan, Bangkok Thailand 10330 Tel: +66 2 656 0500 ext 110 Tel: +66 8 0589 8479

ADMINISTRATION Silailuk@qube-3.com D|D&C | 2

Anantara Comes To Bangkok

he Bangkok Marriot Resort & Spa is to be rebranded as the Anantara Bangkok Riverside Resort & Spa from November 1 a er extensive renova on to the property’s 19-year-old south wing.

rooms in the south wing will be reduced from 183 to 175 as some rooms have been combined to make new suites. The south wing also includes a new fitness centre and two restaurants.

Following the 300-million baht renova on, the number of

The Anantara brand was created by Minor Interna onal

CTC Tourism Holdings Acquires Third Hotel

Jing An Temple. The purchase is also the latest phase of the group’s expansion plans, which include the development of an all-villa resort in Taiwan. Under its travel agency, CTC Travel, the group’s growth plans include a focus on inbound tours, corporate travel, and the MICE market. Other targeted development areas include online businesses and the acquisi on of F&B proper es as well as other tourism-related projects.

ingapore-based CTC Tourism Holdings has expanded its por olio to three hotels in the city state with the S$270 million (US$207 million) acquisi on of the Park Regis Singapore. The 203-room city centre property will retain its Park Regis name and—for the me-being at least—will con nue to be managed by Australia’s Stay-Well Hospitality Group. The deal for the hotel also includes an adjacent seven-storey oﬃce building, which will be re-named CTC Towers. The latest acquisi on adds to CTC’s two exis ng Singapore hotels—Shanghai@Gallery Suites on Heng Shan Road and Paramount@Gallery Hotel near the

New President For KHI

innie Chiu Wing Kwan is to take over as president of Kosmopolito Hotels Internaonal (KHI) from November 1st. Chiu, who has been with KHI since 2010 and has played a ma-

chief execu ve and chairman, Bill Heinecke, a luxury brand with a touch of ‘Thainess’ to ensure each Anantara property has its own unique character and style. The Anantara Bangkok Riverside Resort & Spa will be the third property under the Anantara brand, and the first in Bangkok. jor role in the company’s corporate development and branding strategy, will relinquish her post as execu ve director to replace Bill Mok, who will take on a nonexecu ve director role with the company. KHI was established in 2007 and is a developer, owner, and operator of 24 hotels in China, Hong Kong, Singapore and Malaysia under various brand names, including Dorse Regency, Cosmo, and Silka.

No Let-up in Worldwide Hotel Construction

he global financial crisis may have caused many people to ghten their belts, but it appears to have had no impact on the luxury hotel industry with more than 4,300 new upscale hotel projects currently under

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HCMC Gears Up for Tourist Invasion

o stranger to sieges, invasions and poli cal upheav-

als, Vietnam’s Ho Chi Minh City is undergoing something of a revolu on. But this me, as the city gears up for its latest foreign invasion, the tanks and angry mobs have been replaced by cranes and construc on workers.

dver sing

construc on worldwide. The Middle East and East Asia lead the way with 1,825 new hotels in either the planning or the construc on phase. Not surprisingly, China accounts for the largest individual poron. The country’s 400 new high-end hotels will provide in excess of 119,000 new rooms at a combined investment outlay of 20 billion Euros. Many of China’s new upscale hotels are set for Macau, including the Sheraton at Cotai Strip (4,000 rooms), Holiday Inn (1,224 rooms) and St. Regis (889 rooms). 

In prepara on for the es mated 5 million overseas visitors expected in 2012, the city has seen a major investment in its tourism infrastructure of hotels, restaurants and retail outlets. The doors of the new $37 million (USD) Novotel Saigon Centre and the $15 million (USD) Liberty Central Hotel should be open by the me the hordes arrive, while the $59 million (USD) Pullman Saigon Central Hotel is set to open in 2013. The heart of the city’s tourism sector is to be found at the thriving and increasingly cosmopolitan Dong Khoi area, where tourists are treated to high-end retail outlets, fine-dining restaurants, and a vibrant nightlife. Combining a dis nc ve cultural heritage of pagodas and bustling markets, a French colonial influence of wide boulevards and cafes, and the latest in modern hotels and restaurants, this city of 8 million inhabitants— and almost as many bicycles—is becoming an increasingly popular tourist draw.  www.linuxxoﬃce.com

ARE YOU BEING SEEN

Caesar Comes to China

aesars Entertainment, the world’s largest casino operator, has begun construc on on the 5-star Caesars Palace Longmu Bay on China’s premium resort tourist des na on of Hainan Island. The luxury property is D|D&C | 4

ARE YOU BEING SEEN?

set for comple on in 2014 and will feature 1,000 rooms, several restaurants, two entertainment complexes, shops, bou ques, a spa, and a 36-hole double golf course.

Adver sing pany hopes to acquire 10,000 hotel rooms over the next 5 years, primarily in the prime Asian markets of China, India, Thailand, Vietnam, Indonesia and Sri Lanka.

owever, the $480 million USD complex will not feature a casino or gambling. The complex will be operated by Caesars Global Life – a division of the Caesars Entertainment group established specifically to oversee the development of Caesars proper es in countries where gambling is prohibited. Caesars Global Life plans to develop 25 proper es in China over the next five years. 

The acquisi on of Constella on includes more than 60 hotels in Australia and New Zealand under a variety of brand names, including Chifley, Australis Resorts and Hotels, Country Comfort, and Sundowner Motels. However, SilverNeedle also sees the acquisi on as providing an established pla orm from which to launch its own new brand, Next Hotels and Resorts. The hotels under this brand will be aimed at business travelers while the resorts will cater to families. 

SILVERNEEDLE

NEW CEO AT MINOR HOTEL GROUP

HOSPITALITY TAKES OVER CONSTELLATION HOTELS

s part of its rapid expansion strategy, SilverNeedle Hospitality has taken over Australian-based Constella on Hotels. Only recently established by the Nadathur Group, SilverNeedle is a Singapore-based integrated management, development and investment hospitality company with ambi ous plans. The com-

illip Rajakarier has been promoted from COO to CEO of hotel owner, operator and investor company Minor Hotel Group (MHG). The promo on is seen as a reward for Rajakarier’s success in more than doubling the company’s por olio to 78 proper es as well as taking it into new markets.

Since joining MHG in 2007, Rajakarier has overseen an expansion strategy that has seen the addi on of the luxury tented camps and resorts of Elewana Afrika in Tanzania and Kenya; the acquisi on of Anantara Kihavah Villas in the Maldives and the Oaks Hotel Group in Australia, New Zealand and the United Arab Emirates; strategic hotel investments in Sri Lanka; and the launch of MHG’s own up-market brand, Avani Hotels & Resorts. Having doubled MHG’s port folio during his first four years with the company, Rajakarier has now been set the target of repea ng the task over the next five years and increasing the company’s hotel por olio to 150. His new remit will also include growing the MHG’s own Anantara and Avan brands and making strategic acquisi ons in the Asia Pacific region and the Middle East. 

LPN to Launch New Condos To Push Up Pre-Sales for 2011 LPN Development of Thailand is to launch three new condominium projects in a bid to increase

web design|web development|internet marke ng| network server admin| print services www.fxsiteworks.com

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its pre-sales revenue for 2011. Having generated revenues of 9 billion baht from pre-sales in the first three quarters, the group is hoping to achieve a target of at least 12 billion baht by the year’s end. The group expects that two of the new proper es being launched will appeal to first- me homebuyers responding to the government’s s mulus package which oﬀers a zero interest rate for the first three years of a mortgage on homes priced under 1 million baht. 

The Onyx Hospitality Group of Thailand is to introduce its Amari brand into the Chinese market following an agreement with a local developer to manage an exis ng 105-room hotel on China’s main tourist des na on of Hainan Island. Under the terms of the agreement, the Sanya

The upscale bou que hotel is just 20 minutes away from Sanya Phoenix Interna onal Airport and includes a Chinese restaurant, Thai restaurant with two dining salas, a waterside clubhouse, a spa, a swimming pool, and poolside bars. All the hotels rooms have balconies overlooking the scenic Sanya Bay. 

Worldhotels Scoops Asia-Pacific Award

Worldhotels, an elite collec on of unique independent hotels, has been voted the Asia-Pacific region’s ‘Best Hotel Representaon Company’ at the 22nd TTG Travel Awards 2011 ceremony in Bangkok on October 6. Held in conjunc on with the IT&CMA

and CTW 2011 Asia-Pacific expo, the pres gious awards recognise outstanding achievement within the industry and represent a fi ng reward for Worldhotels’ con nued growth in the region. The company is rapidly expanding in the Chinese market, where it has 36 aﬃliate hotels in prime loca ons, including Beijing, Shanghai, Hong Kong, Macau, and Taiwan.

dver sing

Amari To Enter Chinese Market

Daxing group will retain ownership of the 11-storey hotel, which will be re-branded as the Amari Sanya Bay in March 2012. The move represents a low–risk strategy for Onyx considering Sanya Daxing’s experience in property development in the region as well as the high poten al of Sanya Bay with its scenic se ng and comprehensive range of commercial and leisure a rac ons.

got news? keep us updated send your news to editor@qube-3.com D|D&C is produced by Qube Media

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The Oriental Residence

ith names like Chanintr Living, Abacus Design, and Barbara Barry, the Oriental Residence, which has been developed by Thai Contractors Asset Co., Ltd, is set to become an icon of understated charm and luxurious style. D|D&C | 7

ICONIC STYLE

ituated in downtown Bangkok, next to both the American and Dutch Embassies, the 32-storey Oriental Residence overlooks the pres gious, diploma c and business neighborhood of Wireless Road, as well as Lumpini Park and the Royal Bangkok Sports Club. Inspired by the legacy of the Oriental on Bangkok’s riverside, the Oriental Residence was developed as a contemporary interpreta on of the combined comforts of home and world renowned service. While the two proper es are owned by the Italthai Group, the Oriental Residence is managed by Onyx Hospitality Group.

A total of 46 private ownership residences are located on the 22nd–31st floors with 1-3 bedroom penthouses and duplex units also on oﬀer. For discerning owners, the Oriental Residence boasts the hallmark services essen al for 5-star city living. In addi on to the mandatory butler service, secretarial services, personal training, floral services, and courier services are also available.As one would expect, the facili es are of the highest standard and include an infinity edge swimming pool located on the 32 floor, a roo op garden, and private elevators for the residences as well a library, gym, mee ng rooms and lounge.

Onyx Hospitality president and CEO, Peter Henley, describes how the owners wanted to retain the “Oriental” name a er the rebranding of the Oriental Hotel to the Mandarin Oriental.

Scheduled to open in January 2012, the Oriental Residence is set to become an icon of tomorrow. to find out more h p://www.oriental-residence. com/ D|D&C | 8

Interview | Dr. Nasim Interview with Dr.Shahzad Nasim Global CEO Meinhardt

PERFORMANCE & STRATEGY We caught up with Dr Nasim at the Meinhardt Mee ng held recently at the St. Regis Bangkok. GLOBAL PLAYERS Global CEO Meinhardt Dr. Nasim (R) Regional CEO South Asia John Pollard (L)

“Market conditions continuously change in every country. A dynamic company reponds to these changes very quickly and this is what we do by meeting every quarter.”

Tell us a liƩle bit about the Annual General MeeƟng These mee ngs happen every quarter by rota on, wherever Meinhardt has an oﬃce. The last one was in Vietnam; this me it’s in Bangkok; the next one could be in Manila or wherever else. The main purpose is to look at how we have performed in the last 3 months, the last quarter; what is the strategic direc on for the next quarter and the next year. We con nuously refocus on our departments and make correc ons every three months. You know how it is. It is very easy to become lethargic and complacent and by the me you meet once a year, it’s too late. Market condi ons con nuously change in every country. A dy-

namic company responds to these changes very quickly and this is what we do by mee ng every quarter. We are able to look at the market condi ons, refocus our a en on on the area we should, and re-direct the company. So tell us about the performance in the last 3 months We are actually doing well. are on track. When we did management buyout we ourselves a business plan the next 5 years.

We the set for

It’s quite diﬃcult for one year and even more diﬃcult for 5 years. Surprisingly, we are pretty much on track based on the projec ons we did.

Environmentally sustainable design is an area we have idenfied; another area is project management; the other is mining, which we declared at the me of the buyout. We would like to buy a company that would get us into mining and the other interest is buying a company in the US that would put us into infrastructure. We have decided we should buy these companies, expand these skill sets. We think we want to have an oﬃce in the US, so we are going to buy a company there.

I think these are really exci ng mes. What major challenges do you see? One of our major challenges is ge ng good people and this is a challenge for every talent company. We rely on people’s exper se. It’s about a rac ng the people. From a strategic viewpoint, Where do you see the company in 5 years Ɵme?

We set ourselves a target that we double the company size in 4 years. In people or revenue? Everything. More with revenue but you know how it is; you want to double the revenue you hopefully don’t have to double the number, but close to it. Final words? There are few companies that can do all the engineering services under one roof with a single point of responsibility so the client doesn’t have to waste their me or money trying to have 5 diﬀerent companies and coordina ng them. We oﬀer a one stop shop. We are also trying to strengthen corporate communica ons. We don’t go and promote and market ourselves as much as we should in terms of corporate communica ons internally, but this is something we are now doing. We have some top guys and girls who work for us in-house permanently to set up group corporate communicaons teams so we can get exposure in the media. Some mes you can be very good but if people don’t know you can shine in the dark and nobody knows. 

“One of our major challenges is getting good people and this is a challenge for every talent company. We rely on peoples expertise.”

dver sing

The mining business is happening in Australia. We have iden fied a company we are going to buy in Australia to get us into that space. We are going to buy a project management company that puts us into the project management space. We have iden fied one company in the Middle East and one company in Australia.

Interview | Dr. Nasim

What is the strategic direcƟon of the business?

Meinhardt is a mul disciplinary engineering firm. With over 3,500 specialists working in 30 oﬃces across Australia, Asia, the Middle East, North Africa and the United Kingdom Meinhardt is ranked among the largest independent engineering consul ng firms globally by revenue. hƩp://www.meinhardtgroup.com

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TOP, LOOK, LISTEN – three simple, poten ally life-saving ac ons drilled into us by our parents and teachers when we are about to cross the road. This sound advice is relevant to all manner of junc ons we encounter in life, but for the purpose of this ar cle – none more so than understanding where we are, and where we are headed with Hotel tech. During the preceding thirty or so years, the Hotel industry has been hooked on placing more and more tech into Hotel rooms believing the Guest wants it, needs it; it’s become a way to stay compe ve. In a few cases, some rooms have filled up with so much tech, that they have almost reached burs ng point. Reflec ng back, one of the first pieces of tech to go into Hotel rooms was the Telephone. We had a simple ra onale for doing this. We put them there because travellers needed to be contactable and make calls while on the road, and the only fixed point was the Hotel. We later supplemented these with

the Telex and Fax. Around the same me came the TV. Guests wanted to be entertained in their rooms, and have the ability to keep up with current affairs by watching News. Hoteliers thought Guests wanted movies, so they a ached a VOD system to the TV and later added a DVD player with (ques onably legal) on-demand libraries either from the Concierge or Business Centers. Sta s cs show that apart from News, Guests really only wanted to watch Porn. Then came the Fridge – a place where the Hotel could put a couple bo les of (comp) water, and for the Guests to keep their stuff cool. Not quite the case. Hoteliers morphed them into a mini-bar, offering all manner of over-priced goodies within the impulsive reach of the Guest - that became a nightmare to control. The electronic door lock quickly followed these innova ons. Room control systems soon appeared in Hotel rooms, with the kind of func onal-

ity one might experience at home - mood ligh ng setngs, opening and closing of curtains from the comfort of one’s bed, some of these employ mo on-sensing controls to raise/lower the temperature, or cut some of the power when the Guest exits the room. Then suddenly, if by the flick of Harry Po er’s Magic Wand, all of the above became more and more sophis cated, more and more complex to install and manage, and more and more expensive to purchase and maintain. Am I right? Hotel Owners started to ques on the cost and ROI. As Operators you became increasingly concerned over recurring support expenses. And then there is the Guest - heard on a frequent basis complaining that the tech is just too diﬃcult to use. Oh, one must not lose sight of the fact that there is the obsolescence factor with many of the items being superseded by new models at an ever-quickening pace.

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So what do we need to do? STOP, LOOK and LISTEN of course! In all this while, we’ve moved on genera onally more than at any other me in our evolu onary cycle. However, for most of the Hotel industry, and from an in-room tech perspec ve – it has not. Just look around and see what Hotels are doing? They dispatch Scouts on reconnaissance missions to see what their compe ve set is up to – examining each of their Marke ng bullets one by one. They take hundreds of photos and measurements, and then write up copious notes to include a SWOT analysis. Out of perceived fear or the FUD factor, many copy what they believe to be the most important, and end up with a mashup product. Only a handful seems to innovate – most replicate in this cut and paste industry. In the “i-this” and “i-that” app-centric era we now (thankfully) live, you can no longer cut and paste – you have to innovate to survive – so please, STOP, LOOK and LISTEN OK – so maybe now I’ve go en your a en on and you’ve stopped, and are asking yourself the queson: “What am I supposed to be looking at, and listening to?” 6 Things the

Guests Want

1. fast reliable well priced internet 2. well lit room 3. power socket 4. easy temperature control 5. a place to work (desk) 6. variety of news, sports & entertainment

“To understand what the Guest really wants, and needs: STOP, LOOK and LISTEN” For a start, there isn’t a snowball’s chance in hell that you can ever compete with the media library that the average person owns and carries with them on a device that neatly fits into their pocket, purse or small case. So why are Hotels adding Blu-ray players or IPTV systems with VOD func ons? Why are you adding connecvity panels so the Guest can tether their device to the TV, when most are very comfortable at either holding it their hand (like a book) or prefer to connect it wirelessly? What jus fica on do you have for pu ng an expensive dedicated Shaver socket into the bathroom, when the Guest really needs a universal power socket? Then, unless you oﬀer really cheap or free phone calls, will you ever be able to en ce Guests to use all three of the in-room phones you install to make revenue-genera ng calls. Most will simply collect dust and be a pain for the Housekeeping department to clean. Hotel Ra ng Agencies need to wake-up to this new world phenomenon, and relax the requirements in this area. It’s me to change the rules of the game. And when it comes to adding bedside control panels that resemble ‘Boeing 777’ flight-

deck controls, all the Guest really wants to know is “how can I turn oﬀ the damn bathroom light”? To understand what the Guest really wants, and needs: STOP, LOOK and LISTEN Let’s be very clear about this I don’t profess to be a Rocket Scien st, a Psychiatrist or a Fortune Teller. But what I am is a fairly good judge of what people are looking for, especially when it concerns Hotel Tech. Let me give you a simple and short list: 1. Super fast, reliable and suitably priced Internet access (Wired and/or Wireless). Wireless is the 1st choice for most people, with the ability to connect mul ple devices, and for free. 2. A well-lit room with simple controls. 3. Power sockets, power sockets and more power sockets. And please, don’t kill the power to all of them when I leave the room. Guests also like USB power sockets so an adaptor is not required. 4. Temperatures that can be easily controlled – Up and Down. 5. A place to work – as in a Desk. But note - people work D|D&C | 12

anywhere and everywhere today – so understand that, be sympathe c and flexible, and provision for it with power sockets and Wi-Fi. 6. And as for the TV, include 24-hour news channels, Sports channels and some entertaining TV channels. Most guests don’t want or like all the marke ng stuﬀ you put on the TV, even if you think they do. That’s a small list – isn’t it? Actually, you can summarize what Guests want from a Hotel Room with three C’s:• • •

Clean Comfortable Connected

A 4th might be Cheap – but what Hotelier likes to have his product labeled as Cheap? Just consider how long the average Guest stays with you – 1.5 or maybe 2 nights. And during that ever-decreasing period, how long will they stay in the room, and be awake to use all these services – maybe 4 hours? One or maybe two hours in the morning, an hour a er oﬃce in the evening before dinner, and perhaps one or two hours before sleeping. How much of that me can they devote to learning how to use your tech, versus recovering from jet lag, catching up on emails or mee ng approaching deadlines? They just need the tech to work.

The popula on in general is prepared to spend me learning how to use Personal tech – Why? Because the cost has come out of our pockets, it’s hard earned currency, it will be with them as a tool or amusement for some me, and they need to experience a ROI. Contrast that with the tech found in a Hotel room, and most people don’t have the pa ence or same kind of inclinaon – it’s merely a transient acquaintance. What does this mean to YOU – the Hotelier? In my opinion, going forward – Guests will start to ques on why they should pay for this tech when they don’t need it, don’t want it, and more especially -don’t use it. Their desire will be to somehow integrate their tech into your systems and do what they want – with their devices – like customize their experience. They’ve become comfortable with them, they know them inmately, and most significantly – they’ve paid for them – so why are you duplica ng the expense? Maybe it’s me to re-think, reimagine and downsize…. Consider very carefully the kind of tech you are deploying. Is it because you feel threatened by what your compe tors are doing? Remember they may be on the wrong track. Is it because of the findings from the focus group you so carefully put together and solicited candid

feedback from? A trendy piece of tech is no longer an en cement to making a Guest change allegiance from one Hotel to another. A B&O stereo, or an iPod dock is not a deal breaker – but free Wi-Fi and a free mini-bar can be.

And besides, the lifespan of these toys is very short – twelve to eighteen months tops before they become relegated to the old version league. Can you really afford to swap out gizmos that fast? When will you STOP, LOOK and LISTEN?  © Terence Ronson ISHC to read the full unedited feature by Terence http://pertlinkblog.blogspot. com/

Terence Ronson is Managing Director of Pertlink - Hospitality IT consultancy based in Hong Kong SAR

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