In general, the hotel business recovered clearly and quickly. Prices for hotel rooms have increased by 50% since the beginning of the year due to positive factors - the demand of Chinese tourists for luxury condominium hotels. In this regard, the premium facility "Hyde Sukhumvit 11" is preparing for a major deal worth 600 million baht with the aim of closing the sale of the entire project in 2023.
The hotel business was improving rapidly in Q1 2023, which is an opportunity to earn more than expected.
The hotel business in the first quarter of 2023 may bring 321% more revenue than in the same period of 2022, while the main positive factor is the return to normal situation with COVID, the return of the Chinese tourism market, which is of great importance for the recovery of the tourism business. Especially 3 hotels in Bangkok, which can accommodate both tourists and business customers, causing a rapid increase in occupancy.
The average occupancy rate in the first quarter was 72%, and the price for a free room increased by more than 50% compared to Q1 2022.
In March, the official launch of the "Siam Yacht Club" took place, a restaurant and a hangout place along the Chao Phraya River of the Royal Orchid Sheraton hotel with an area of 600 square meters, with 150 outdoor recreation areas, 50 air-conditioned rooms and V.I.P. rooms - 12 rooms.
There are also rapid signs of improvement in the first quarter: by 2023, it is planned to generate revenue of 3 billion baht from 3 projects, namely "Hyde Heritage Thonglor", a joint venture project with the Japanese real estate giant Sumitomo Forestry Group "Hyde Sukhumvit 11" and "Amatara Residences Rayong".
The focus of Hyde Heritage Thonglor Condominium. Thai law allows the transfer of ownership rights to foreigners only on 49% of the total property. Currently, the volume of unfinished sales is 900 million baht. Revenue is expected to reach 2 billion baht by the end of this year.
In this regard, Grande Asset announced its business plan for 2023, setting a target for total revenue of 6 billion baht, based on the fact that the hotel business will bring a profit of 3 billion baht and real estate of 3 billion baht. This will lead to the highest revenue since the company was founded or to an all-time high.