The Dean on
PHU QUOC
is relatively cheap ,” observes Robert Hecker , managing director , Pacific Asia for Horwath HTL . “ So developers look at the land price , but they don ’ t look at what it takes to get people there .”
A number of observers point out that Vietnam tends to attract one-and-done visits , with curious travelers targeting a single destination , then moving on to the next vacation spot . “ Compared to Thailand , where the number of repeat visitors is around 60 %, it ’ s very low in Vietnam ,” Gasparotti says . Efforts by the government or tour operators to create multi-city packages could change that . So could additional tourist activities like dining , shopping and entertainment .
Newcomers also face a steep learning curve . “ You can ’ t just go in there by yourself ,” says Felix Lai , director of investments for Gaw Capital in Hong Kong . “ You have to find credible partners , maybe one of the local developers , because it ’ s still an emerging market . It ’ s a lot like China was 15 years ago , where the rules aren ’ t clear and things can take a long time to get approved .”
THE PLAYERS Investors from Singapore , Japan , South Korea , Thailand and Malaysia have seen the potential of Vietnam , but some of the busiest developers these days are home grown . Sun Group is behind two high-profile recent projects — the J . W . Marriott Phu Quoc and the InterContinental Danang Sun Peninsula Resort — and has deals to open St . Regis and Ritz-Carlton properties over the next several years .
Vingroup , another large developer , is building a US $ 870 million island resort near the Chinese border — a logical choice , given that China is the largest source market for Vietnam ; the company already operates 18 resorts along the coast under the Vinpearl flag . And in 2016 VinaCapital , a domestic real estate asset management
One year in , the J . W . Marriott Phu Quoc Emerald Bay in Vietnam has attracted a lot of attention for its themed design . Celebrity designer Bill Bensley ’ s fantastic and painstakingly detailed Lamarck University motif arguably put this island destination on the map . Hotel General Manager Ty Collins shared his thoughts about running a luxury island hotel in an emerging destination . HOTELS : How was your first year ? Ty Collins : We ran occupancy just under 30 %. For a relatively unknown destination with limited capacity , we were quite pleased . When we opened there was one commercial flight to Phu Quoc , and now there are two , and four charters during the winter . We had fantastic publicity and awareness , especially in Asia . And domestically we saw more demand than expected from Hanoi and Ho Chi Minh City . H : What ’ s your guest profile ? TC : It ’ s all over the map — welltraveled people who have been other places and are curious about the destination ; expats from around Asia ; a lot of people who follow Bill Bensley ; a lot of celebrities domestically .
H : What kind of hurdles did you overcome to get up and running ?
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