CapitaLand’s wholly-owned serviced residence business unit, The Ascott Limited (Ascott), has signed an agreement to acquire The Cavendish London in London for £158.8 million. Ascott will manage the 230-unit hotel, The Cavendish London, in the fourth quarter of 2012.
The hotel, which has a rich heritage dating back to the 1960s, will be subsequently transformed into a luxurious serviced residence under the premier Ascott The Residence brand and will be named Ascott St James London. The transformation of The Cavendish London into Ascott St James London marks the expansion of the premier Ascott brand in the key hospitality market of London.
The Cavendish London is well-located on Jermyn Street, in the St James’s area of Mayfair. The location is perfectly suited for business or leisure, surrounded by some of London’s finest cultural, dining, shopping and leisure attractions, including The Royal Academy of Arts, Fortnum & Mason, the bespoke tailors of Jermyn Street and Savile Row, West End theatres and cinemas, the famous Bond Street and the relaxing open space of Green and St James’s Parks as well as Buckingham Palace.
The Cavendish London offers a choice of dining in the award-winning Petrichor Restaurant, the chic Lounge and the comfortable Lobby Bar. It also provides 24-hour concierge, porter and room services as well as a car park.
The acquisition of The Cavendish London will increase Ascott’s portfolio to seven properties in central London. It will also enhance Ascott’s presence in Europe where it currently manages over 5,000 units across 45 properties in 20 cities.
Mr Chong Kee Hiong, Ascott’s Chief Executive Officer, said:
“London is one of the strongest and most resilient hospitality markets where demand from business and leisure travellers for international-class serviced residences continues to grow. This is an attractive opportunity to acquire a quality operating property which is strategically located in the prestigious Mayfair area. We see the potential to transform this property into one of the best luxury serviced residences in London. The acquisition of The Cavendish London is in line with our articulated strategy to seek investment opportunities in key growth cities in Asia and Europe.”
Currently in London, Ascott operates Ascott Mayfair, Citadines Prestige Trafalgar Square, Citadines Prestige Holborn-Covent Garden, Citadines Prestige South Kensington, Citadines Barbican and St Marks serviced residence.
About The Ascott Limited
The Ascott Limited is the world’s largest international serviced residence owner-operator with about 22,000 operating serviced residence units in key cities of Asia Pacific, Europe and the Gulf region, as well as over 8,000 units which are under development, making a total of close to 30,000 units.
The company operates three brands – Ascott, Citadines and Somerset. Its portfolio spans over 70 cities across more than 20 countries, 15 of which are new cities in Ascott’s portfolio where its serviced residences are being developed.