Hyatt Launches Ryokan Brand
With Conservation-Minded Partner
Kiraku turned an alleyway of michiyas on the brink of demotion into the 23-room ryokan, Nazuna Kyoto Tsubaki St (above)
By Raini Hamdi, 26 Sep 2022
Hyatt Hotels is launching a new brand, Atona, which will be a collection of modern hot-spring ryokans in Japan, in a 50:50 joint venture with Kiraku, a small company that is big on preserving Japanese culture, architecture and heritage.
The first Atona ryokans in the regional areas of Japan are expected to debut from 2025. Revolved around the onsen (hot spring), each will be set among breathtaking landscapes, said a Hyatt statement.
“They will serve as the base of each guest’s journey in Japan, offering new experiences and discoveries both within and beyond the ryokan that are special to its locale,” it added.
One of Japan’s leading designers, Kenya Hara, joins this project as creative director for the brand. Hara has worked for major Japanese clients including Kenzo and the Nagasaki Prefectural Art Museum. He also designed the opening and closing ceremonies of Nagano 1998 Winter Olympics.
Atona ryokans will be managed independently by a team of hospitality experts who have a deep understanding of both Japanese culture and international hotel standards, said Hyatt.
Preservation
Kiraku, with offices in Kyoto and Tokyo, focuses on undervalued assets in Japan that “we hope to preserve for future generations.” It was founded in 2013 by Kou Sundberg, a former investment analyst at Fortress Investment Group US. He was based in Japan and was mainly involved in acquisition, asset management and operation of Fortress’ domestic hotel portfolio.
Among its projects, Kiraku acquired a whole alleyway of 24 machiyas (traditional townhouses) in Kyoto that were on the brink of demolition. It renovated the group of buildings, built in the Meiji era more than 110 years ago, into a 23-room boutique ryokan, Nazuna Kyoto Tsubaki St.
It also turned a pair of traditional samurai-style residences in the quaint castle town of Obi in Nichinan City, Miyazaki, into luxury lodging facilities, as part of a larger effort to revitalize the historic town.
On-going work includes a development in Niseko, Hokkaido, where Kiraku has acquired 33 ha of land with panoramic views of Mt. Yotei and Mt. Annupuri.
“Kiraku’s collaboration with Hyatt, a leading global hospitality company, presents an exciting opportunity to discover and share the unique charms of Japan from a global perspective,” said Sundberg. “Having roots in both Japan and the United States, I have always been interested in the diverse cultures and landscapes that can be found across Japan, and at Kiraku, we have focused on creating businesses that share these treasures with the world.”
Said Sam Sakamura, Hyatt’s vice president Japan and Micronesia, “We believe that the five essential elements for inbound tourism are food, culture, history, safety and transportation infrastructure. As a highly sought-after tourist destination, Japan exceeds in each of these categories.
“Through our strong collaboration with Kiraku on the Atona brand, the joint venture will build on the unique, personalized experience of traditional Japanese ryokans, which have been loved by locals for centuries, and make them accessible to inbound travelers, many of whom have never experienced staying in a ryokan before.”