CIPUTRA Property, the real estate development arm of Indonesia’s Ciputra Group, is making moves to tap the domestic budget travel segment by opening 50 economy hotels across the country over the next few years.
According to Ciputra Property director Artadinata Djangkar, the company decided to enter the economy hotel segment in order to capture a slice of the fast-growing domestic travel pie.
Local media quoted Djangkar as saying that Ciputra would be setting aside a budget of 115 billion rupiah (US$16.5 million) to develop six economy hotels in Bandung, Semarang and Jogjakarta this year.
Other openings are targeted in Sulawesi, Kalimantan and Sumatra.
Ciputra already owns a number of properties managed by Swiss-Belhotel International, and is also constructing a top-tier hotel as part of the Ciputra World Jakarta 2 mixed-use development on Jalan Dr Satrio, which will reportedly operate under Starwood Hotels and Resorts’ W Hotel banner.
