expansion was announced for Myoko Kogen, one of Japan’ s oldest and most accessible ski regions.

IHG recently launched two hotels from the independent luxury and lifestyle brand Vignette Collection— RIGHA Royal Hotel Osaka and The Windsor Hotel TOYA Resort & Spa— as well as three Osaka hotels from midscale brand Garner by IHG that tap into Japan’ s famous“ business hotel” model.

“ We’ re proud that Japan was one of the first destinations globally to launch Garner, with three hotels opening in Osaka ahead of World Expo [ and ] the fourth Garner just opening in Kyoto,” said Sandilya.“ There’ s huge opportunity in the midscale space, [ and ]

Garner is a wonderful fit for this segment.”

Regent Kyoto broke ground in May and is slated to open in 2028 in the affluent Okazaki neighborhood, famed for its dining venues, just as IHG signed Regent Karuizawa, a new-build luxury onsen retreat in the mountains.

Abhijay Sandilya, CEO, IHG ANA Hotels Group Japan, and MD, IHG Hotels & Resorts Japan & Micronesia

In 2025, IHG opened the ANA Crowne Plaza in Okinawa and InterContinental Sapporo in Hokkaido.

“ Japan is currently going through what I’ d call an all-segment growth play,” said Sandilya.“ There’ s a strong opportunity for growth within the luxury and lifestyle segment given affluent domestic and international travelers are looking for one-of-a-kind experiences, thoughtful service and the opportunity to discover new destinations.”

Despite the spike in construction costs, which is a worldwide phenomenon and one not isolated to Japan,

investor interest in Japan’ s hospitality sector should remain robust, argued CBRE’ s Ichikawa.“ It reflects the sustained confidence in the market’ s long-term growth potential,” he said.