A new Palace Hotel Hakone is set to open in autumn 2029 on the site of the former Palace Hotel Hakone in Sengokuhara, Hakone Town, Kanagawa Prefecture. A safety prayer ceremony (groundbreaking ceremony) was held on Tuesday, October 13, 2026, and construction has now started. The redevelopment is being led by Palace Hotel, Kyushu Electric Power, and Kraftia.
About the Redevelopment
Palace Hotel Hakone first opened in 1960 as its predecessor, Hakone Kanko Hotel (箱根観光ホテル), after receiving approval for a lodging business in a national park. It was loved for 56 years before closing in January 2018 because of the aging of the building. For the redevelopment, Kyushu Electric Power and Kraftia, which both have experience with projects inside national parks, have joined Palace Hotel, and the three companies launched it as a new project. Representatives of the three companies attended the groundbreaking ceremony on October 13 to pray for the safety of the work, and full-scale construction will now proceed toward the autumn 2029 opening.
The safety prayer ceremony (groundbreaking ceremony) held on Tuesday, October 13. From left: 上妻 正典 (Executive Officer and General Manager of the Urban Development Business Division, Kyushu Electric Power), Daisuke Yoshihara (President and Representative Director, Palace Hotel), and 大嶋 知行 (Representative Director and Executive Vice President, Kraftia).
What the New Hotel Will Offer
The hotel will stand in Fuji-Hakone-Izu National Park, on a 17,450 m² site with views of the surrounding nature and Mt. Fuji. It will be a mountain resort hotel with a total floor area of 12,850 m², featuring 69 guest rooms including suites and villas, wellness facilities, and three dining venues. It aims to offer "the finest Japan," the concept of the Palace Hotel brand.
Comment From Palace Hotel
Daisuke Yoshihara, President and Representative Director, Palace Hotel:
"We are deeply honored to have the opportunity to take on a new challenge together with Kyushu Electric Power and Kraftia, who have supported this effort. Following our flagship Palace Hotel Tokyo, this project will be a step toward opening up our company's future in the special place that is Hakone. In harmony with its rich natural surroundings, the hotel will be reborn as a mountain resort hotel that embodies the finest Japan and stays in the memory of every guest who visits. With our efforts in Hakone as a firm foundation, we will continue to raise the value of the Palace Hotel brand and offer hospitality that is chosen by guests from Japan and abroad."
Kyuden Group's Participation
The Kyuden Group (Kyushu Electric Power and Kraftia) is engaged in urban development projects in Japan and overseas. It regards luxury hotels as an important foundation that attracts tourism demand from Japan and abroad, raises the brand power of a region, and strengthens the international competitiveness of cities and tourist destinations. Through this project, it aims to deepen its knowledge and network in developing and operating luxury hotels by working with Palace Hotel, and to support the project as one team.
Hotel Overview
- Name: Palace Hotel Hakone
- Opening: Autumn 2029 (planned)
- Address: 1245 Sengokuhara, Hakone Town, Ashigarashimo District, Kanagawa Prefecture
- Structure: Reinforced concrete, partly steel-reinforced concrete (4 floors above ground, 1 below ground)
- Total floor area: 12,850.00 m² (3,887 tsubo)
- Owner: Hakone Sengokuhara Special Purpose Company (箱根仙石原特定目的会社)
- Architectural design: Mitsubishi Jisho Sekkei (株式会社三菱地所設計)
- Construction: Kajima Corporation
- Design: Tara Bernerd and Partners
- Guest rooms: 69 (including 6 suites and 5 villas)
- Room size: 57 m² to 250 m² (69 m² to 271 m² including terraces with open-air baths)
- Dining: All-day dining, lounge bar, and specialty restaurant
- Other facilities: Wellness facilities (spa, pool, fitness gym)
Access
- By bus: About 50 minutes from Odawara Station (JR and Odakyu Line) on the Hakone Tozan Bus bound for Kojiri Togendai. Get off at "Palace Hotel Hakone-mae."
- By car: About 30 minutes from Gotemba IC on the Tomei Expressway, or about 25 minutes from Hakone-guchi IC on the Odawara-Atsugi Road.
