Search
 

New Hotel Targets Chinese Travelers

The Sheraton Los Angeles San Gabriel is scheduled to open at the beginning of the year, and will be a “home to the Chinese” travel market, according to the developer.

By Kelsi Maree Borland | Updated on December 13, 2017

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%).

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 1 free article* every 30 days across the ALM subscription network
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?

NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.

GlobeSt

Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2024 ALM Global, LLC. All Rights Reserved.