Photo: Travel News Asia
travel

Ascott to open Tokyo's 1st lyf property

0 Comments

Ascott is acquiring a freehold asset in Tokyo, Japan via its private equity fund with the Qatar Investment Authority.

The asset will be refurbished to introduce Ascott’s first lyf-branded co-living property in the city.

The 140-unit, to be named lyf Ginza Tokyo, is Ascott Serviced Residence Global Fund’s (ASRGF) fourth acquisition in 2022, deploying close to S$400 million across four countries in under five months.

Slated to open in June 2023, lyf Ginza Tokyo is set to meet the lodging demand of conglomerates and start-ups located nearby and cater to leisure travellers visiting the capital city.

With the acquisition of lyf Ginza Tokyo, ASRGF will hold 12 properties with over 2,300 units across 9 countries. ASRGF’s properties are in Australia (Melbourne and Sydney), China (Ningbo), France (Paris), Indonesia (Jakarta), Japan (Tokyo), Netherlands (Amsterdam), Singapore, United Kingdom (London) and Vietnam (Hanoi).

The acquisition follows Ascott’s signing of over 7,500 units in the first half of 2022, a 32% increase compared to the same period last year.

The company has also opened 20 properties with more than 4,500 units in in the first half, a 56% year-on-year increase in units. It also completed its acquisition of Oakwood in July 2022, expanding its portfolio by about 15,000 units to over 153,000 units across over 900 properties.

Kevin Goh, CLI’s Chief Executive Officer for Lodging, said, “As a vertically-integrated global lodging business, Ascott is able to leverage our full suite of real estate investment and management capabilities for expansion. In addition to increasing our recurring fee income via new management and franchise contracts, we see opportunities to grow our funds under management through our private funds such as ASRGF and our Student Accommodation Development Venture. We will continue to step up our growth as demand for lodging increases with the resumption of international travel.”

In addition to lyf Ginza Tokyo, ASRGF’s acquisitions this year include lyf Bondi Junction Sydney in June 2022, as well as Somerset Hangzhou Bay Ningbo and Citadines Canal Amsterdam in March 2022.

ASRGF has five operational properties – Ascott Sudirman Jakarta, La Clef Champs-Élysées Paris, Citadines Islington London, lyf Funan Singapore and Quest NewQuay Docklands Melbourne.

Seven properties are under development. Besides lyf Ginza Tokyo that is scheduled to open in 2023, Somerset Metropolitan West Hanoi, Citadines Canal Amsterdam, Citadines Walker North Sydney, lyf Bondi Junction Sydney and lyf Gambetta Paris, Ascott’s first lyf-branded coliving property in Europe, are slated to open in 2024. Somerset Hangzhou Bay Ningbo is expected to open in 2025.

Mak Hoe Kit, Ascott’s Managing Director for Lodging Private Equity Funds and Head of Business Development, said, “Extended stay lodging assets such as serviced residences and co-living properties are becoming increasingly attractive as an investment class. Investors have recognised its resilience to withstand economic challenges and flexibility to reap the benefits during an upswing in demand. Partnering with Ascott allows investors to leverage our award winning lodging operations to add more value to their investments.

"With the addition of lyf Ginza Tokyo, we are close to the full deployment of ASRGF. We seek to establish more lodging funds and attract like-minded capital partners to tap on Ascott’s established investment and operational expertise to grow. Through our strong local team’s expertise in deal origination, we continue to hunt for under-valued and/or under-performing assets which we will then further enhance their performance.”

© Travel News Asia

©2024 GPlusMedia Inc.

No Comment
Login to comment

Login to leave a comment

Facebook users

Use your Facebook account to login or register with JapanToday. By doing so, you will also receive an email inviting you to receive our news alerts.

Facebook Connect

Login with your JapanToday account

User registration

Articles, Offers & Useful Resources

A mix of what's trending on our other sites