Kintetsu Group Holdings will consolidate its hotel leasing business under Kintetsu Miyako Hotels. Effective 1 January 2027, it will transfer the assets of 12 facilities and integrate ownership and operations.
Kintetsu Group Holdings announced on the 23rd that it will transfer the hotel leasing business owned and leased by Kintetsu Real Estate to Kintetsu Miyako Hotels. This will shift the group's hotel business to centralized management covering ownership of assets through operations and management.
The transfer covers the assets of 12 facilities, including Sheraton Miyako Hotel Tokyo in Minato, Tokyo, and Osaka Marriott Miyako Hotel in Osaka. The transfer will be completed effective 1 January 2027, terminating the lease arrangements between Kintetsu Real Estate and Kintetsu Miyako Hotels and integrating ownership and operations.
The restructuring is positioned as part of an effort to respond to changes in the market environment, including challenges such as cost increases driven by inflation and labor shortages. On the same day, Kintetsu Group Holdings reiterated its policy, set out in its medium-term management plan announced in May, of reviewing its portfolio.
Through the transfer of the assets, the company aims to increase the value of its hotel assets.