Mantra Group Expands with A$52.5 Million Acquisition of Art Series Hotel Group

Australia-based Mantra Group has penned an agreement with Deague Group to acquire the local Art Series Hotel Group, in a transaction estimated to be approximately A$52.5 million (US$41.7 million), excluding transaction costs. The Art Series Hotel Group’s portfolio boasts seven luxury properties, comprising over 1,000 guestrooms, and a host of top-tier meeting facilities, restaurants, and amenities. The seven hotels are spread among key destinations in Australia – five in Melbourne, one in Brisbane and one in Adelaide. The deal represents a sizeable addition to Mantra Group's current portfolio of 128 properties and more than 21,500 rooms in properties under management across Australia, New Zealand, Indonesia and Hawaii. Recognizing the strength of the brand in the market, each of the seven properties will continue to operate under the Art Series brand. The deal is expected to be completed by late 2017, subject to closing conditions customary for an acquisition of this nature.

Ascott Becomes Singapore’s Largest Serviced Residence Operator

CapitaLand’s wholly owned serviced residence business unit, The Ascott Limited, is investing S$170.3 million, through its serviced residence global fund with Qatar Investment Authority, in the serviced residence component of the Funan integrated development. Of the sum, the fund will acquire the land for the serviced residence component from CapitaLand Mall Trust for S$90.5 million and develop the Singapore flagship of Ascott’s millennial-focused lyf brand on the site for an estimated S$80 million. lyf Funan Singapore will be an integral part of the Funan project, which also comprises a mall and two office towers offering innovative retail outlets and co-working spaces. Slated to open in 2020, the nine-storey co-living property will provide 279 units (with the flexibility to offer up to 412) and will occupy approximately 121,000 square feet in gross floor area. With this acquisition, Ascott establishes its position as the largest and the fastest growing serviced residence operator in Singapore with close to 2,000 units in 12 properties. Ascott is also working towards its target of achieving 10,000 lyf-branded units worldwide by 2020, with four lyf-branded properties already underway. 

Second Four Seasons for South Korea to Launch in Jeju

Landing Jeju Development Co. Ltd., a wholly owned subsidiary of Hong Kong-based Landing International Development Limited, has entered into an agreement with Four Seasons Hotels & Resorts to launch a new Four Seasons resort in the centre of Jeju Shinhwa World. Conveniently located just one hour from Seoul by plane, Jeju Shinhwa World is Jeju Island’s first premium integrated resort that spans over 2.5 square kilometres and has been opening in phases since the beginning of 2017. Once fully launched, the complex will also feature upscale resort condominiums and villas, a casino, a theme park, a water park, retail space, and a ‘K-Pop entertainment centre’. The Four Seasons Resort Jeju Island will feature 240 guestrooms, suites and villas, several F&B outlets, state-of-the-art meeting facilities, and a luxurious spa designed in the style of a traditional Korean tea house. Including the Four Seasons Resort Jeju Island, the integrated development will incorporate a series of premium hotels offering more than 2,000 rooms and extensive MICE facilities.

SUNING’s First Self-Operated Hotel Opens in Nanjing, China

SUNING Hotels & Resorts announced the opening of its first self-operated property – AURAYA, last week. Strategically located in Hexi CBD of Nanjing, China, the select service business hotel features 113 modern guestrooms, a gym, a self-service laundry, a book bar in the lobby and other supporting facilities.  Food and beverage offerings at the AURAYA SUNING include Chinese and Western-style healthy breakfast, and fine afternoon tea and light meals for business guests. The hotel is approximately a 20 minutes’ drive from the Nanjing South Railway Station; 30 minutes’ drive from Nanjing Railway Station; and 40 minutes’ drive from the Nanjing Lukou International Airport.

Bali to Get Its New Cruise Ship Terminal

With construction slated to commence in September 2017, Bali’s Benoa Port could be set for their inaugural docking by late 2018 – in time for the IMF-World Bank meeting in Bali, in October 2018. Arief Yahya, Indonesia’s Minister of Tourism, stated that 200,000 tourists arrived in Indonesia on cruise ships in 2016; he is hopeful that with the new port developments, a target of 500,000 cruise visitors can be achieved by 2019. Cruise ships visiting Bali currently have to moor off shore, with small boats being utilized to bring passengers to the shore. The new Benoa Port will be able to accommodate mega cruise ships carrying up to 5,000 passengers and 1,500 crew members. State-owned port management company, PT Pelindo III will undertake the construction of Bali’s Benoa Port. Concurrently in North Bali, work at the proposed Celukan Bawang Port is due to start in December this year and finish by March 2018, providing facilities to handle seven ships carrying 1,000 passengers each. Besides Bali, the government is also planning to develop cruise facilities in Belawan (Sumatra), Tanjung Priok (North Jakarta), Tanjung Perak (east Java) and Soekarno-Hatta (Sulawesi) ports.

Absolute Share Price Performance, as on 11 August 2017