Japan-based Okura Hotel will open its first hotel in Myanmar with help from Japan’s government-private fund in 2020, according to the company’s press release dated July 28.
Construction of Okura Prestige Yangon will begin this year and is expected to be completed by 2020. Okura Prestige Yangon will be the company’s first project in the country.
The building will cover 16,000 square meters and offer a total area of ââ92,000 square meters with eleven floors, according to information from Fujita Corporation and Tokyo Tatermono. The structure, located at the corner of Shwedagon Pagoda Road and Pantra Street in Dagon Township, will include office buildings, rental facilities, retail stores and a hotel, which will offer approximately 390 rooms.
For operations and project management, the Okura Hotel plans to sign a contract this month with a consortium of Japanese companies including Fujita Corporation, Tokyo Tatemono, Japan Overseas Infrastructure Investment Corporation for Transport & Urban Development (JOIN) and the local company Yangon Technical & Trading, which is a subsidiary of Ayeyar Hinthar Holdings, based in Yangon.
Hotel Okura Co operates hotels and manages accommodation, catering, hotel property management and other services. The Tokyo-based company has hotel operations in Japan, South Korea, China and has ongoing projects in the ASEAN region.
Fujita and Tokyo Tatemono added in their press release that the hotel is the first project to obtain investment clearance under Myanmar’s new investment law. The investment project is an operation led by a Japanese public-private partnership (PPP) framework.
Public-private partnerships between a government agency and a private sector company can be used to finance, build and operate projects, such as night markets and public road networks.
More and more international hotel chains are coming to Myanmar or expanding into the country.
Last month, The Myanmar Times announced that the French group AccorHotels and the Thai company LP Holding will open two hotels this year and one more in 2020. Of these three hotel projects in preparation, two are in Mandalay and one in Yangon.
Meanwhile, US hotelier Hilton Worldwide Holdings Inc plans to add three more hotels in the country.