Ascott adds 850 units to serviced residences portfolio

Citadines @ Han River Seoul. Credit: Ascott.

CapitaLand Limited’s wholly owned serviced residence business unit, The Ascott Limited (Ascott), has secured four new contracts to manage over 850 units in four growing Asian markets.

Having recently built up its portfolio of serviced residence units to 40,000 units globally, Ascott is targeting to add a further 2000 units to its global portfolio. It seeks to establish an international footprint, with a target in excess of 42,000 units distributed across 94 cities across 26 countries. The four latest additions are all under the Citadines brand

Of the four new properties, Citadines Han River Seoul will be the first to welcome guests from 1Q 2016. The remaining three properties will be ready in 2018 – Citadines Punaka Yogyakarta, Somerset Arcadia Miri and Citadines Central Binh Duong.

The new management contracts grant Ascott’s a presence in Yogyakarta, (Indonesia) and Miri, (Malaysia), as well as the entry of an international serviced residence brand in the city. In addition, Ascott acquired contracts to manage properties in in Binh Duong, Vietnam and a second serviced residence in Seoul, South Korea.

Lee Chee Koon, Ascott’s CEO, said: “This year, we have grown faster than before by extending Ascott’s footprint to five new cities and adding about 4,700 units to our global network, which is almost double the units secured in the same period last year. Such an expansive growth demands an intimate understanding of the market and an ability to establish the right local alliances.”

Also Read: CapitaLand increases stake in China unit for $50.8m

Lee added, “We have forged strategic partnerships to ensure that Ascott remains the industry leader and we are in a strong position to accelerate our growth. Ascott’s entry into a joint venture with Qatar Investment Authority to set up a $600 million global serviced residence fund will provide us with the financial backing for acquisitions as we strive for our target of 80,000 units globally by 2020.”

According to Lee, Ascott is capitalising on growth opportunities in the technology space, having recently led a consortium to invest S$120 million in Tujia, China’s largest online apartment sharing platform. This is part of Ascott’s efforts to benefit from the growing O2O (both Offline-to-Online and Online-to-Offline) commerce space in China.

Ascott has also formed a strategic partnership with Samsung Asia to jointly develop smart homes that are able to support  Internet of Things (IoT) appliances in their serviced residence.

Lee explained: “By harnessing our wealth of knowledge and experience in managing over 250 properties across 94 cities, we are able to take advantage of economies of scale across our global footprint to reap operational efficiencies and cost savings while delivering the highest quality in services and products.”

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Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
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Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.