SOLD – JLL advises on first Southeast Asia hotel portfolio sale in 2023
JLL today announced it advised on the sale of a portfolio of three prominent hotels in Southeast Asia. The landmark transaction, which settled for US$106.1 million, marks the first hotel portfolio sale in the region for 2023.
The three hotels are strategically located in the key gateway cities of Jakarta and Ho Chi Minh City, representing 632 keys.
JLL’s Hotels & Hospitality Group acted as the exclusive advisor to the seller, Strategic Hospitality Holdings Limited, throughout the transaction process. The portfolio consists of the Pullman Jakarta Central Park, the ibis Saigon South and Capri by Fraser, both in Ho Chi Minh City. The Pullman Jakarta Central Park and ibis Saigon South are sold with the benefit of Accor management under the Pullman and ibis brands, respectively, The Capri by Fraser was sold with vacant possession.
“Investors are extremely confident on the fundamentals of Southeast Asia’s hotel space. The sale of this unique hotel portfolio not only underscores the resurgence of deal activity in Southeast Asia, but also reinforces the ongoing recovery of cash flows of hotels in the region,” says Julien Naouri, Senior Vice President, Investment Sales, Asia Pacific, JLL Hotels & Hospitality Group. “We are delighted to have partnered with our client on this successful transaction and demonstrated the value of bright ideas, regional expertise and experience in navigating the increasingly complex market dynamics faced by investors.”
The 317-room Pullman Jakarta Central Park is the only internationally branded upscale lifestyle hotel in West Jakarta, and is directly connected to Central Park Mall, one of the city’s busiest shopping malls with an annual footfall of 50 million visitors. Additionally, the Capri by Fraser, Ho Chi Minh City and ibis Saigon South are the only internationally branded hotels situated within walking distance from offices tenanted by multinational companies and the Saigon Exhibition and Convention Centre, the city’s largest exhibition facility.
“Despite macroeconomic headwinds, the project was completed within six months of its launch, reinforcing the strength of JLL’s global investment advisory network. Through our deep understanding of the local markets, we successfully navigated the intricacies of the investment environment, identifying the right buyers and achieving optimal outcomes for our client,” says Nihat Ercan, Chief Executive Officer, Asia Pacific, JLL Hotels & Hospitality Group.
