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Regal Hotels unit wins Hong Kong airport hotel tender with HK$2.2B bid

A Regal Hotels International Holdings Ltd. unit will develop a hotel at Hong Kong International Airport's SKYCITY site, after securing a contract for approximately HK$2.19 billion.

The Airport Authority awarded the tender to Capital Charm Holdings Ltd. for the project at Site A1a within SKYCITY. The proposed hotel will be on an approximately 6,650-square-meter site, with a permissible gross floor area of 33,700 square meters.

Capital Charm and the Airport Authority will sign a development deal for the plan on or before April 3. Regal Hotels and its subsidiaries plan to use internal resources and/or external financing as funding for the project, with a tender deposit of HK$10 million already paid out to the Airport Authority.

Regal Hotels said the new property will complement the existing Regal Airport Hotel, the first hotel situated at the airport. The company decided to pursue the plans for a new hotel to take advantage of an anticipated increase in airport traffic.

Construction of the hotel is expected to be completed within 60 months of the inking of the development plan, with an official launch to take place within nine months after construction completion.

Capital Charm Holdings is also a subsidiary of Paliburg Holdings Ltd. and Century City International Holdings Ltd., which is the ultimate parent company of Regal Hotels and Paliburg.