13 March 2017

Airport operator to construct four airport hotels this year

State-owned airport operator PT Angkasa Pura II (AP II), which manages 13 airports in western Indonesia, will construct four hotels this year as an initial step in its expansion into the property and hospitality sectors.

One of the companies to cooperate with AP II is Hotel Indonesia Group (HIG), which manages three companies -- PT Hotel Indonesia Natour, PT Patra Jasa and PT Aero Wisata.

AP II and HIG will soon sign a memorandum of understanding (MoU) on the plan, AP II president director Muhammad Awaluddin said in Jakarta on Monday.

(Read also: Airport operator AP II posts 24 percent rise in revenue)

“Hotel Indonesia Group has a long, successful history in managing hotels. Therefore, we are proud to cooperate with the group,” said Awaluddin as reported by kompas.com.

He expressed optimism that HIG would be able to support AP II’s efforts to utilize the assets owned by the company.

He said the increase in flights at airports under the management of AP II would be an opportunity to develop hotels near the airports.

The four hotels to be constructed by PT Angkasa Pura Properti, an AP II subsidiary, are three at Soekarno-Hatta Airport and one at Kualanamu International Airport, Deli Serdang, North Sumatra. The two are the largest airports managed by AP II. Total investment will reach Rp 375 billion (US$28.12 million).

Last year, some 58 million people flew through Soekarno-Hatta Airport and 9 million flew through Kualanamu airport. 

Source: http://www.thejakartapost.com/news/2017/03/13/airport-operator-to-construct-four-airport-hotels-this-year.html