Far East Hospitality signs Indonesia agreement, sets sights on regional expansion

FAR East Hospitality has inked a new partnership in Indonesia as part of a larger plan to increase its footprint within the region.

The group on Tuesday announced that it has teamed up with ARTOTEL Group, an Indonesian boutique hospitality and lifestyle group, in a strategic alliance agreement. Under the terms of the partnership, both sides will collaborate across operations, branding, and training, as well as support business growth across markets.

Both Far East Hospitality and ARTOTEL Group will be represented as an "Affiliate Brand" in their ecosystem and distribution channels, said Far East. It will also work with ARTOTEL Group to enhance its presence in Indonesia and obtain meaningful market share.

Arthur Kiong, chief executive officer of Far East Hospitality Management, said that he expects to see strong synergies for both Singapore and Indonesia as both are key inbound markets for their respective tourism sectors.

"From a brand architecture perspective, it fits into a niche segment which we are currently not represented. Amid discussions to explore a 'travel bubble' between both countries, we look forward to leveraging our combined portfolio to appeal to both domestic and regional markets," he added.

In addition to its Indonesian entry, Far East Hospitality has also ramped up its hotel portfolio in Japan. Far East Village Yokohama will be Far East Hospitality and the Village brand's second property in Japan. This comes a year after the opening of Far East Village Hotel Ariake in July 2020. The 277-key Far East Village Yokohama will be managed by Far East Hospitality under a hotel management agreement with Far East Organization. The property is slated to open in June this year.

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In Singapore, Far East Hospitality will expand into the resort and spa category with the opening of Oasia Resort Sentosa in the second half of 2021.