International hotel operators are eagerly unveiling plans to expand aggressively in China.

Starwood, US' third largest hotel operator, has announced plans to have up to 100 hotels in the Greater China region by 2010.

This boom comes as property developers are also building luxury hotels in China.

A new landmark has joined the dramatic skyline of Shanghai.

Overlooking People's Square, the 66-storey Le Royal Meridien Hotel is now the tallest building in the city's Puxi area.

The US$440 million landmark is built by the Shimao Group, a developer owned by Xu Rongmao.

Jason Hui, Executive Director, Shimao Group, said, "This is going to be the largest single-bloc five-star hotel in Shanghai. It's a super-scale five-star hotel, it's situated in a prime location, the land cost was therefore the most expensive. We hope it'll become a landmark building in China as well."

Along with hotels such as the Four Seasons and the Grand Hyatt, these luxury lodgings are popular with Shanghai's constant stream of statesmen, corporate travellers and trade delegations.

The boom in the hotel industry has also benefited companies like Starwood, the third largest hotel operator in the US.

The group operates about 30 hotels in Greater China, covering brands like Le Meridien, Westin and Sheraton.

It aims to manage up to 100 hotels in the Greater China region by 2010, up from the current 57.

As luxury hotels continue to open one after another in China, analysts have raised concerns that the market may not be able to absorb this extra capacity eventually.

In Shanghai for example, although room demand is expected to remain strong - at least up till the World Expo in 2010 - the question is whether this strong demand can be sustained beyond 2010.

Source:佚名