C9 Hotelworks founder and managing director Bill Barnett took the floor on Day 2 of the 2026 South East Asia Hotel Investors’ Summit (SEAHIS) in Bangkok to discuss recent developments in the Asian branded residences sector.
Barnett pointed out that the sector is seeing significant growth in the post-pandemic era, mostly driven by the development boom that kicked off in 2022 and evolving customer demographics.
Currently, the branded residences scene in the continent is dominated by Vietnam, Thailand, and South Korea, though the driving factors for individual markets differ significantly.
Barnett said: “[The Asian branded residences industry] is a US$40 billion market, meaning $40 billion today is the value of the units which are for sale today in the marketplace. It’s not the existing products; it’s products which are currently under development for sale. That’s a good market size.”
The expert, however, added that this maturing sector is fragmenting into a number of nuanced and country-specific ecosystems, flying in the face of the one-size-fits-all development paradigm of past decades.
We are also seeing a shift away from resort-centric residential developments as the sector moves towards urban and standalone projects.
Asia's new Big Three
As stated above, Vietnam, Thailand, and South Korea are dominating the regional branded residences industry.
Vietnam, essentially an early-cycle market, has taken the lead, becoming the top choice of buyers on the lookout for hospitality-oriented investment grade products.
Thailand comes in second as it moves into maturity and enters a period of major transition.
Up until recently, the Thai branded residences scene was predominantly resort-centric; now, it is shifting into a more mixed market as it appeals to buyers hunting long-term homes paired with luxury hotel services.
The third big player shifts the focus from Southeast Asia towards East Asia: the South Korean branded residences scene is large and is growing at a rapid clip.
However, it should be noted that most branded real estate in South Korea gets traded on a fractional or membership basis as opposed to full freehold ownership.
Into the urban landscape
The soaring cost of tangible land assets along with evolving lifestyles are turning buyers’ gazes away from the beachfront, hilltop, and mountainside developments that characterised the scene for more than two decades.
Today’s buyers are setting their sights on high-rise urban condominiums and standalone, non-hotel-co-located projects, a development that reflects current industry economics.
According to Barnett: “We are seeing more condominium projects, [but] that’s simply an indication of land value. As land prices are pushing up, it’s very expensive to find the right locations. If we think of ultra-luxury projects, it’s very hard if you’re going to the beach because you’re going to have the first row of branded villas. What’s happening when you go to the second or third row? Who wants to be back there? You’re peeking over your neighbor’s fence.”
This spatial reality has ignited massive growth in primary urban hubs like Bangkok, which is currently seeing premium penetration from major hospitality players like SLS, InterContinental, and various upper house concepts.
Operators are shifting to standalone models
Standalone branded residences are changing the game for the industry,especially those disconnected from a physically adjacent hotel or resort.
This booming trend has been fuelled by global chains seeking to boost their earnings whilst expanding their terrestrial footprint.
Barnett said of this: “Standalone is interesting because hotel brands all want to grow their earnings. We’ll see that segment grow, and I think that segment could probably double in the next two or three years.”
As an example, Barnett pointed out how around 65 percent of Four Seasons’ global pipeline now consists of mixed use or residential projects.
At the same time, many of today’s operators see standalone projects as a secondary entry point into dense cities where they might already face strict Areas of Protection (AOPs) for their primary hotel brand.
Interestingly, hospitality chains can likewise double their presence in a single market by utilising existing local hotel assets as an operating platform to dispatch a specialized services or mobile concierge teams to the standalone development.
It’s curtains for the rental pool
Barnett also pointed out how the guaranteed rental pool has become obsolete as a primary marketing hook for the sector.
Under the old model, total residential rental revenue was lumped together and distributed purely by square meterage.
This has effectively been killed off by modern property technology and strict financial regulations, specifically in North America and Europe.
Barnett said: “Most North American or listed hotel groups will not do rental pooling. This is because of liability. They’re deemed to be selling a security; [so] virtually none of the major hotel chains will do rental pools anymore.”
Instead, the market is pivoting toward clean, top-line revenue-sharing models based on individual unit performance.
This shift also alleviates the major operational headache of managing hundreds of individual retail owners who want to dissect a hotel's microscopic Profit and Loss (P&L) statements
