By Shingo Sugime

8:00 JST, June 21, 2025

The Japanese hotel market is entering a new era. As the tourism industry shifts its focus from quantity to quality, foreign hotel chains are increasingly targeting Japan as one of the few growth areas in a mature market, drawn by its appeal and investment opportunities. New concepts such as wellness and integration with local culture are emerging as competitive advantages, and a fresh breeze of “Japanese luxury” is beginning to blow.

The Japanese luxury hotel market has historically been dominated by prominent Japanese brands, notably the “Big Three” of the Imperial Hotel Group, Okura Nikko Hotels, and New Otani Hotels. However, there has been a notable surge in the presence of foreign brands outside the Tokyo metropolitan area in recent years, leading to increased competition and the introduction of new value propositions.

The Singapore-based hotel chain Capella Hotel Group has selected Osaka as the site for its inaugural establishment in Japan. The group, which developed Capella Singapore — the venue for the first U.S.-North Korea summit in 2018 — opened Patina Osaka in May of this year just across the moat from Osaka Castle, a popular destination for visitors to Japan. Patina presents itself as a lifestyle brand tailored to a new generation of travelers.........

© The Japan News