Hongkong and Shanghai Hotels Ltd. said it has invested 13 billion yen ($111 million) to decorate the Tokyo Peninsula hotel, which will open in the autumn of 2007.

Tokyo Peninsula will be a joint venture between the Hong Kong hotel group and Japan's Mitsubishi Estate Co. Ltd. that has provided the land and building.

The two firms will share the income from the hotel operations.

The arrival of foreign hotels has driven local players such as Imperial Hotel Ltd to step up their spending to renovate their facilities. The growing competition has raised oversupply concerns."

Hongkong and Shanghai Hotels saw its net profit fall 43 percent in the six months to June.

The firm's underlying profit, or profit before non-operating items, grew 40 percent in the first half.

Source:佚名