CapitaLand Group has bought Hotel G in Singapore from Gaw Capital Partners for $180m, reported BNNBreaking.com.
The transaction price equates to S$779,220 ($585,118.64) per key.
The 308-room hotel is now under the management of a special-purpose vehicle steered by senior executives from CapitaLand.
This move comes two months after CapitaLand’s Ascott lodging division began exclusive due diligence for the purchase.
The acquisition is part of CapitaLand’s strategy to increase its fee income from the lodging business to S$500m ($375.45m) annually by 2028.
Gaw Capital originally acquired the property in 2015 for S$203m and has now sold it for S$240m, which is 75% of the initial asking price of S$320m.
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The directors from CapitaLand now in charge of Hotel G include senior executives from its investment and lodging divisions.
Hotel G is located near key attractions and business centres in Singapore.
Last month, CapitaLand Ascott Trust (CLAS) revealed plans to sell three hotels in Osaka, Japan, to an unrelated third party for a total of Y10.7bn ($75.2m).
These hotels are Hotel WBF Kitasemba East, Hotel WBF Honmachi, and Hotel WBF Kitasemba West.
The sale which is 15% above book value, is expected to generate net proceeds of around Y3.9bn, with CLAS anticipating a net gain of Y1.1bn from the transaction.
In 2022, the company completed 11 acquisitions in Japan, encompassing assets with extended-stay features.
CapitaLand is a real estate company headquartered in Singapore.
It has a diverse portfolio spanning more than 260 cities in more than 40 countries, focusing on investment management and development.