Chinese developer Hazens Group is building a new Sheraton Los Angeles San Gabriel in the San Gabriel Valley, and plans to target Chinese travelers to serve the growing Chinese community and culture in Los Angeles. The hotel is scheduled to open in January and will accept its first guests in February. We sat down with Wanda Chan, General Manager for Sheraton Los Angeles San Gabriel, to find out more about the project, why it is targeting such a specific demographic and get her opinion on the hotel market.

GlobeSt.com: Why was the San Gabriel Valley an attract location for a hotel development?

Wanda Chan: San Gabriel Valley was chosen based on the economic growth and rich Asian culture. The city of San Gabriel is home to nearly 40,400 residents which 60.7% is of Chinese decent in addition to San Gabriel ranking within the 5 top cities in Los Angeles County with highest percentage of Asian residents. Industries such as medical, technology and manufacturing continue to drive the economic future of San Gabriel. LAX will continue to be a driving force in the San Gabriel market, bringing 75 million visitors to Los Angeles. LAX is the busiest airport on the west coast delivering over 22 million international visitors. Chinese tourists account for more than one million visitors in Los Angeles and are the top target audience in San Gabriel. Looking towards 2018, Los Angeles RevPAR is expected to grow 3.7%. This is better than the rate of growth in 2017. Prospects for RevPAR growth in the lower-priced segment (positive 4.5%) are better than in the upper-priced segment (positive 2.9%). Los Angeles market occupancy levels are expected to range from 80.5% to 81.3% during the 5-year forecast period. CBRE forecast for the LA upper tier hotels shows an annual occupancy of 82.1% (+.05%) and ADR for $232.89 (+2.2%) for an overall RevPAR of $191.23 (+2.7%).

GlobeSt.com: Why have you chosen to target Chinese tourists with this project?

Chan: The Sheraton Los Angeles San Gabriel will become home to the Chinese travel market in addition to markets such as Corporate, Sports, Government and many social events. The Sheraton Brand is a global brand that is identified for the experience of elegance and comfort that guests from around world have become emotionally attached. The Chinese traveler looks upon the Sheraton Brand the best hotel brand in the world due to being the first to enter China nearly 32 years. The Sheraton Los Angeles San Gabriel will be the most dynamic hotel in the San Gabriel Valley that will catering to the Chinese market with a team that understands the needs and expectations.

GlobeSt.com: What amenities are you including to attract this tourist demographic to the hotel?

Chan: The Sheraton Los Angeles San Gabriel is proud to provide experiences that will impact all cultures and personas. Our luxurious hotel will offer a wide range of upscale facilities that are relatable to our guests. The Ba Shu Feng Chinese restaurant will be the first in the US and is famous for its authentic, upscale Sichuan cuisine, alongside is the EST. Prime Steakhouse. Exercise in the Sheraton Fitness Center, complete with the latest workout equipment and a yoga studio. The Spa will offer personalized indulgent sessions in four tranquil rooms, and beauty treatments are available. Club guests have special access to the Sheraton Club Lounge. A relaxing, upscale space, the Club Lounge features breakfast, afternoon hors d'oeuvres, and a variety of beverage options. A personalize travel concierge with a high-end car rental agency. Unwind with our High Tea Afternoon experience and relax on the Garden Terrace poolside. Our full service Starbucks is located lobby level.

GlobeSt.com: In general, hotel development took a pause last year. Do you think that hotel construction is returning, and if so, what are the market implications here?

Chan: The economic outlook is positive. Hotel developer would remain confident granted a good location can be secured. Our owner, Hazens Group, plans to break ground end of this year for a new W Hotel in downtown LA across from LA Live Staple Center. In San Gabriel, there is a new Curio by Hilton under development. In Pasadena, there is Hyatt Place under development.

Chinese developer Hazens Group is building a new Sheraton Los Angeles San Gabriel in the San Gabriel Valley, and plans to target Chinese travelers to serve the growing Chinese community and culture in Los Angeles. The hotel is scheduled to open in January and will accept its first guests in February. We sat down with Wanda Chan, General Manager for Sheraton Los Angeles San Gabriel, to find out more about the project, why it is targeting such a specific demographic and get her opinion on the hotel market.

GlobeSt.com: Why was the San Gabriel Valley an attract location for a hotel development?

Wanda Chan: San Gabriel Valley was chosen based on the economic growth and rich Asian culture. The city of San Gabriel is home to nearly 40,400 residents which 60.7% is of Chinese decent in addition to San Gabriel ranking within the 5 top cities in Los Angeles County with highest percentage of Asian residents. Industries such as medical, technology and manufacturing continue to drive the economic future of San Gabriel. LAX will continue to be a driving force in the San Gabriel market, bringing 75 million visitors to Los Angeles. LAX is the busiest airport on the west coast delivering over 22 million international visitors. Chinese tourists account for more than one million visitors in Los Angeles and are the top target audience in San Gabriel. Looking towards 2018, Los Angeles RevPAR is expected to grow 3.7%. This is better than the rate of growth in 2017. Prospects for RevPAR growth in the lower-priced segment (positive 4.5%) are better than in the upper-priced segment (positive 2.9%). Los Angeles market occupancy levels are expected to range from 80.5% to 81.3% during the 5-year forecast period. CBRE forecast for the LA upper tier hotels shows an annual occupancy of 82.1% (+.05%) and ADR for $232.89 (+2.2%) for an overall RevPAR of $191.23 (+2.7%).

GlobeSt.com: Why have you chosen to target Chinese tourists with this project?

Chan: The Sheraton Los Angeles San Gabriel will become home to the Chinese travel market in addition to markets such as Corporate, Sports, Government and many social events. The Sheraton Brand is a global brand that is identified for the experience of elegance and comfort that guests from around world have become emotionally attached. The Chinese traveler looks upon the Sheraton Brand the best hotel brand in the world due to being the first to enter China nearly 32 years. The Sheraton Los Angeles San Gabriel will be the most dynamic hotel in the San Gabriel Valley that will catering to the Chinese market with a team that understands the needs and expectations.

GlobeSt.com: What amenities are you including to attract this tourist demographic to the hotel?

Chan: The Sheraton Los Angeles San Gabriel is proud to provide experiences that will impact all cultures and personas. Our luxurious hotel will offer a wide range of upscale facilities that are relatable to our guests. The Ba Shu Feng Chinese restaurant will be the first in the US and is famous for its authentic, upscale Sichuan cuisine, alongside is the EST. Prime Steakhouse. Exercise in the Sheraton Fitness Center, complete with the latest workout equipment and a yoga studio. The Spa will offer personalized indulgent sessions in four tranquil rooms, and beauty treatments are available. Club guests have special access to the Sheraton Club Lounge. A relaxing, upscale space, the Club Lounge features breakfast, afternoon hors d'oeuvres, and a variety of beverage options. A personalize travel concierge with a high-end car rental agency. Unwind with our High Tea Afternoon experience and relax on the Garden Terrace poolside. Our full service Starbucks is located lobby level.

GlobeSt.com: In general, hotel development took a pause last year. Do you think that hotel construction is returning, and if so, what are the market implications here?

Chan: The economic outlook is positive. Hotel developer would remain confident granted a good location can be secured. Our owner, Hazens Group, plans to break ground end of this year for a new W Hotel in downtown LA across from LA Live Staple Center. In San Gabriel, there is a new Curio by Hilton under development. In Pasadena, there is Hyatt Place under development.

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Kelsi Maree Borland

Kelsi Maree Borland is a freelance journalist and magazine writer based in Los Angeles, California. For more than 5 years, she has extensively reported on the commercial real estate industry, covering major deals across all commercial asset classes, investment strategy and capital markets trends, market commentary, economic trends and new technologies disrupting and revolutionizing the industry. Her work appears daily on GlobeSt.com and regularly in Real Estate Forum Magazine. As a magazine writer, she covers lifestyle and travel trends. Her work has appeared in Angeleno, Los Angeles Magazine, Travel and Leisure and more.