Japan's Tokyu Fudosan makes move into luxury hotels
Group acquires mountain getaway, plans beach resort in Okinawa
TOKYO -- Japanese property group Tokyu Fudosan Holdings seeks to become a contender in the luxury hotel business, with locations in places such as Okinawa and the mountain resort of Karuizawa to attract inbound tourists.
In March, the Tokyo-based group bought the Kyu Karuizawa Hotel, a getaway operating in the old section of the alpine town since 1979, for an undisclosed amount from its foreign owner.
The midsize hotel, with about 50 rooms, takes in more than 35,000 yen ($310) per room on average. Tokyu Fudosan plans to directly manage the property, now run by an outside operator.
In Okinawa, the group is developing a beach resort together with NTT Urban Development and Oriental Land subsidiary Milial Resort Hotels. The resort, called the Hyatt Regency Seragaki Island Okinawa, is slated to open in summer 2018. Tokyu Fudosan envisions opening luxury hotels in other parts of the country as well.
Rival property groups are bolstering their own hotel businesses in Japan. Mitsubishi Estate plans to open three Royal Park Hotels in Tokyo, Kyoto and Osaka starting in 2018. Mitsui Fudosan looks to launch extended-stay Celestine Hotels in Kyoto, Tokyo's upscale Ginza district and elsewhere this fall.