Worldwide Hotels Rolls Out Large Scale Hotels Focuses Lean Luxury Concept
At the head of Worldwide Hotels, one of Singapore’s largest homegrown hospitality groups, is Carolyn Choo, the chief executive and managing director. She took over the company from her father, Choo Chong Ngen, who founded it in 1993 with the launch of Hotel 81, a budget hotel chain that made him famous. According to Forbes, Choo Chong Ngen, who is 71 years old, is Singapore’s 17th richest person with a net worth of US$3.1 billion ($4.2 billion).
Under Carolyn’s leadership, the hotel group has continued to dominate Singapore’s mid-tier and budget hospitality segment, with a portfolio of 41 hotel properties and over 8,600 rooms. This includes 52 hotels, including overseas properties, with a total of 11,200 rooms.
Carolyn has her sights set on expanding the group’s presence in Singapore and the region. The recent launch of the flagship property, the 989-room Mercure Icon Singapore City Centre, is a testament to the ambitions of this second-generation entrepreneur.
Located at 8 Club Street, the property is considered the largest Mercure hotel in the world. It is the second largest in Worldwide Hotels’ portfolio, following the 1,500-room Hotel Boss. The hotel’s concept revolves around “lean luxury”, offering affordable luxury, efficient spaces, and modern design.
“Our goal with Mercure Icon Singapore City Centre is to showcase our ability to provide luxury at an affordable price point,” says Carolyn.
The hotel was developed under the “lean luxury” concept, offering affordable luxury and efficient spaces with an appealing contemporary design. In addition to being the first “co-branded hotel” by Worldwide Hotels, it also bears the group’s Icon brand.
The upcoming Tampines North Hub is poised to bring a fresh new wave of retail, dining, and community facilities to its surrounding area. This highly-anticipated addition will enhance the already thriving Parktown Residences, which features an integrated retail podium, offering residents a wide range of lifestyle options. The hub’s prime location near popular shopping destinations such as Tampines Mall, Century Square, and Tampines 1 will provide residents with a diverse and enriching shopping experience. With all these attractive features, it is no surprise that Park Town Residences is quickly becoming a highly sought-after place to call home. In fact, residents can now easily find their dream home at Park Town Residences.
The new Mercure Icon boasts a prime location on Cross Street and Club Street. Despite being situated in Chinatown, it is right next to the Central Business District (CBD). The site was won by Worldwide Hotels in 2019 under the government land sales (GLS) programme, with a winning bid of $562.2 million ($2,148 psf per plot ratio). It was the first GLS site for a hotel development in a decade and Worldwide Hotels’ first time participating in a GLS tender.
“When this site was launched for sale, we had already envisioned it as a landmark property within our local portfolio,” says Carolyn. “We put in the highest price that we thought we could afford based on our projected return on investment.” The hotel is now valued at over $1 billion.
The tender conditions for the hotel included building underground pedestrian links to the Telok Ayer MRT Station and the Chinatown MRT Station, as well as to the Cross Street Exchange office blocks across the road. This connectivity makes it an attractive option for both business and leisure travellers, according to Carolyn.
Anchoring the hotel’s appeal are its variety of F&B offerings, including an impressive selection of restaurants and bars such as L’antica Pizzeria da Michele, La Table d’Emma, Upward Taproom, TAG Espresso, Ashino Restaurant, Kiara Café & Bar, and Chara Brasserie.
Carolyn sees the Mercure Icon City Centre as well-positioned for the growing trend of business-leisure travel, where corporate travellers extend their stay for leisure. She believes that there is still pent-up demand for travel post-Covid, which will sustain the demand for mid-tier hospitality.
Worldwide Hotels Group owns and manages Mercure Icon Singapore City Centre and Novotel Singapore on Kitchener under a franchise partnership with Accor. This partnership is an opportunity for Worldwide Hotels to enhance its relationship with Accor and tap into the international hotel group’s extensive membership base of over 27 million.
The maiden tie-up was with the 543-room Novotel Singapore on Kitchener, which opened in November 2023. Worldwide Hotels purchased the property, formerly Parkroyal on Kitchener, for $525 million in July 2023. It was considered Singapore’s largest single hotel acquisition last year and the second largest in the Asia Pacific region. The hotel was previously owned by UOL Group’s hospitality arm, Pan Pacific Hotels Group.
While the buyout was a significant milestone for Worldwide Hotels, it already had an existing partnership with Accor, which manages some of its overseas hospitality properties. These include Novotel Melbourne Central, Ibis Melbourne Central, and Ibis Styles Brisbane Elizabeth Street in Australia, and Ibis Budget Osaka Umeda in Japan.
Carolyn notes that having an internationally recognized hotel brand manager helps drive cost efficiencies across the company and enhances the staff’s skill specialization.
Worldwide Hotels has been refurbishing and rebranding its existing properties in Singapore, with a goal of upgrading or refreshing at least one property every year. The latest hotel to complete a refresh is Hotel 81 Premier Princess on Lorong 12 Geylang. The company plans to continue rejuvenating its older hotel properties across the island progressively.
Apart from Singapore, Worldwide Hotels has 11 hotels in Australia, Malaysia, Japan, South Korea, and Thailand. The group plans to double this number to 20 in the next five years, with a focus on established cities such as Osaka and Tokyo in Japan and Melbourne in Australia. Carolyn remains optimistic about the Singapore hospitality industry, particularly with Southeast Asia being the largest group of inbound travellers.