Ascott-QIA fund to buy north Sydney property for $139m

Singapore-based CapitaLand’s wholly-owned lodging business unit, The Ascott Limited, announced on Thursday that it is investing S$192 million ($139 million) in a serviced residence in North Sydney, Australia.

The deal was conducted through its global fund with Qatar Investment Authority (QIA), the Ascott Service Residence Global Fund. Other assets invested by the fund include Citadines Islington London as well as lyf Funan Singapore.

To be named Citadines Walker North Sydney, the serviced residence is part of a 48-storey integrated development which also has office and retail components and will be the tallest tower in North Sydney upon its completion in 2021.

“The latest acquisition in Australia is in line with our strategy of growing our fund management portfolio through private equity funds, joint ventures, and listed hospitality trusts – all of which provide a core asset base for our asset management business,” said Ascott CEO Kevin Goh.

He added Ascott’s deep presence in key gateway cities across various lodging segments provides a ready pipeline of assets like Citadines Walker North Sydney for capital deployment.

“We have an established owner-operator track record of creating value through sound asset management strategies as well as delivering robust and attractive risk-adjusted returns for our investors. Together with our capacity to co-invest with like-minded capital partners such as QIA, it gives us the ability to stay invested in quality assets for the long term.”

At the same time, Ascott has also signed on 13 other properties under franchise and management contracts, bringing the firm’s asset value to S$10 billion ($7.24 billion). The lodging-owner operator said it has secured over 10,600 units for 2019. In total, it has more than 112,000 units in over 700 properties and is on track to meet its global goal of 160,000 by 2023.

In July, Ascott Resident Trust that is managed by CapitaLand’s indirect wholly-owned subsidiary, and Ascendas Hospitality Trust announced a merger proposal to create Asia’s largest hospitality trust with an asset value of over $5.5 billion.

 

Singapore Reporter/s

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

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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.