Key Points
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Expansion into Urban Markets: Minor Hotels is diversifying its portfolio by adding urban hotels in Vietnam’s commercial hubs, starting with the 310-room Avani+ Hanoi, set to open in 2028. This marks its first city property in Vietnam.
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Rationale for Expansion: According to Chief Development and Luxury Officer Omar Romero, both Hanoi and Ho Chi Minh City have evolved into key commercial and cultural centers, backed by improved connectivity and a surge in domestic travel, projected to reach 137 million trips in 2025—a 25% increase from the previous year.
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Current Market Landscape: New hotel developments in Vietnam have so far focused on coastal areas like Da Nang and Phu Quoc, with city hotel inventory experiencing slower growth.
Summary
Minor Hotels is shifting focus from coastal resorts to urban locations in Vietnam to tap into the corporate and domestic travel markets that its current resort-heavy offerings do not serve. After over 20 years in leisure destinations such as Hoi An and Mui Ne, the brand recognizes Hanoi and Ho Chi Minh City as significant centers for business, partly due to enhanced air connectivity and a booming domestic tourism sector. The first initiative is the Avani+ Hanoi, part of the Hinode City development, which will include residential and serviced apartments. The hotel aims to attract corporate travelers, meeting attendees, and leisure guests, with particular focus on markets from South Korea, China, Japan, Southeast Asia, Europe, and Australia, alongside a significant emphasis on capturing Vietnamese travelers. Minor Hotels is also looking for further urban opportunities, with priority on Ho Chi Minh City.
