Far East Hospitality Management will launch three Singapore hotels over the next three months. These are the Village Hotel Katong in the Marine Parade/East Coast area, Amoy at Far East Square in the Chinatown/CBD area, and a relaunch of the Rendezvous Grand Hotel in the Bras Basah area which Far East Hospitality Trust (FEHT) acquired recently from Straits Trading Company.
Far East Hospitality is the hospitality management arm of mainboard-listed Far East Orchard Limited (FEOrchard). The parent group, unlisted Far East Organization, owns about 52 per cent of units in FEHT.
First off in the three hotel launches is the 229-room Village Hotel Katong, which has emerged as a modern Peranakan-themed hotel following an approximately $30 million makeover of the old Paramount Hotel.
The hotel will be officially launched next month, although it began receiving its first guests last Monday. Opening rates start from $178 per night.
When Village Hotel Katong's business stabilises to reach the general market occupancy rate of mid-80s - which typically takes between 18 and 24 months in the industry - room rates in the hotel are expected to be around $220-250, said Arthur Kiong, CEO of Far East Hospitality Management.
Typical room sizes at the hotel range from 28-32 sq m (301-344 sq ft). The hotel is part of a 12-storey property that includes a three-level retail podium, Katong V. More than 90 per cent of its 46,843 sq ft net lettable area is let, with 30 tenants signed up so far. Anchor tenant NTUC Finest occupies about 14,700 sq ft.
Amoy, which is slated for launch in December, is a boutique hotel with 37 rooms on the upper levels of conservation shophouses in Far East Square. The average room size will be around 24 sq m (258 sq ft). Opening rates start from $268.
In January, the 298-room Rendezvous Grand Hotel will be relaunched as the Rendezvous Hotel after a revamp.
In August this year, a 70:30 joint venture company between FEOrchard and The Straits Trading Company completed its 50-50 joint venture with Australia-based Toga Group, expanding Far East Hospitality's portfolio from 18 properties and 3,600 rooms under management to 72 properties and 10,600 rooms under management, and adding four new complementary brands of Medina, Adina, Vibe and Travelodge.
When FEOrchard completes another deal with Straits Trading soon, this hospitality management contract portfolio will grow further to more than 80 properties with over 13,000 rooms spanning Singapore, Malaysia, Australia, New Zealand, China, Germany, Denmark and Hungary.
Far East's original brands include Village, Quincy and Oasia.
"Our expanded stable of hospitality brands allows Far East Hospitality to cater to different traveller profiles. Taking a customer-focused approach, each hotel brand offering is developed based on a thorough understanding of the specific traveller segment's psychographics . . . For instance, each Village hotel takes on the character of the neighbourhood it is in," said Mr Kiong.