Minor Hotels is betting that Vietnam's growth story now runs through its cities, not just its coastline. The group's first move: a 310-room Avani+ Hanoi opening in 2028, its first urban property in a portfolio built over more than two decades on leisure destinations like Hoi An, Mui Ne, and Quy Nhon.

Chief Development and Luxury Officer Omar Romero told Skift the group now views Hanoi and Ho Chi Minh City as major commercial and cultural centers, supported by improved air connectivity and a domestic travel market that is expanding fast. Vietnam recorded 137 million domestic tourist trips in 2025, up roughly 25% from 110 million the year before, according to the Vietnam National Authority of Tourism.

The Avani+ Hanoi, announced in September, will sit inside Hinode City, a mixed-use development that includes a lifestyle mall and 1,099 residential and serviced apartments. The location points to Minor's target segments: corporate travelers, meetings and events, short-stay leisure, and long-stay guests — demand streams a resort-heavy footprint has largely missed.

The supply gap Minor is chasing

The urban push also reflects where new hotel supply is not going. New inventory in Vietnam remains concentrated on the coast, with Da Nang and Phu Quoc leading the three-year pipeline, according to Savills. City inventory growth, by contrast, is comparatively constrained — a scarcity that could give early urban entrants pricing power and stronger corporate account penetration.

For sellers of travel, the shift matters because it changes what Minor can offer in Vietnam beyond beach packages. Urban properties open access to corporate negotiated rates, MICE business, and extended-stay demand — segments that drive year-round occupancy rather than seasonal leisure peaks.

Source markets

Minor is targeting South Korea and China as key source markets, alongside Japan, Southeast Asia, Europe, and Australia. Romero called Vietnamese travelers "a very important part of the mix," a nod to the domestic boom underpinning the strategy.

More to come

Romero said Minor is actively looking for more urban opportunities, with Ho Chi Minh City a priority, though he named no specific projects. The 2028 opening date means revenue impact is years away; the near-term signal is directional rather than measurable.

The bet rests on sustained domestic travel growth and continued corporate demand in Vietnam's two largest metros. If those hold, Minor's city expansion could rebalance its Vietnamese business from seasonal coastal leisure toward higher-frequency urban demand.