CDL rejects suitors, picks Preferred

THERE has been no shortage of hotel management companies swooning over its new 654-room hotel that is part of its South Beach integrated development in Singapore, but City Developments Limited (CDL) has rejected the ardent suitors and will be managing the hotel, which will be known as South Beach Hotel and represented by Preferred Hotel Group (PHG).

“We decided to manage South Beach Hotel on our own and make it uniquely ours,” CDL executive chairman Kwek Leng Beng told TTG Asia as part of a feature asking hotel owners in the region which properties they most look forward to in 2015.

“South Beach Hotel, as it will be called, is not a cookie-cutter concept. Guests are going to be pleasantly surprised by the unique vibe of the hotel’s attributes. You will be wowed by the 21st century design when you enter the hotel and be calmed by the minimalist style of the rooms.

“I hope when the doors of South Beach Hotel open in the first half of 2015, everyone will love what we have meticulously created,” said Kwek.

In an interview with TTG Asia earlier this year, Kwek was still in two minds over the property being independent or branded.

Asked if he was inclined to outsource or self-manage, he said: “Sometimes, after calculating management fees, I feel you can be better off managing the hotel yourself. One can’t assume that international management will perform better. They may get you a higher rate (because of the brand), but let me ask, if the hotel management group has five hotels in Singapore and each day they have 500 rooms to fill, how much is your share of the business?”

Getting South Beach Hotel under its umbrella, meanwhile, is a coup for PHG which also nabbed One Farrer Hotel & Spa, Singapore, opened last September.

“We are delighted to welcome The South Beach as a member of Preferred Hotel Group. This landmark property will prove to be one of the best independent hotels to open in Asia in recent years. With a unique hospitality concept, The South Beach will pave the way for change in this already dynamic industry,” said Anthony Ross, executive vice president, Asia-Pacific, Middle East and Africa of PHG.

“We look forward to working closely with The South Beach team, leveraging on expertise from both sides, as well as PHG’s global distribution network, to contribute to the success of this new Singapore icon upon its opening in 2015.”

Read owners’ take on their most memorable hotel 2014 and the one by competitor that caught their eye, TTG Asia Year-end issue

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