Hotel industry and travel news from around the Asia Pacific region: Swire JV acquires Xian Taikoo Li site, Singapore Tourism Board is seeking proposals to develop and operate an integrated tourism development in Jurong Lake and more...
STB Invites Proposals for Integrated Tourism Development in Jurong Lake District, Singapore
Singapore Tourism Board is seeking proposals to develop and operate an integrated tourism development in Singapore’s Jurong Lake District. This development is located adjacent to the Chinese Garden MRT station, with a maximum gross floor area of 84,000 square metres. It will feature a 350-key hotel, a mix of attractions, retail, food and beverage, and entertainment offerings. The entire site will be leased to the successful bidder for 60 years. The Jurong Lake District will be the focus of development in Singapore for the next two decades, with more than 120 hectares of land in the area will be available for development over the next 30 years. Four major rail lines: North-South Line, East-West Line, and the upcoming Jurong Region Line and Cross-Island Line will be serving Jurong Lake District by early 2030s.
Swire JV acquires Xian Taikoo Li Site for RMB2.57 Billion
Hong Kong-based Swire Properties Limited ("SPL") and China-based Cheng Huan Cultural Investment and Development Co. Ltd ("CHCID") have formed a joint venture to acquire a high-end retail site in Belin District of Xian for RMB2.57 billion. The acquired land spans over 119,606 square metres, and is situated in Xian’s ‘Small Wild Goose Pagoda historical and cultural zone’. The land will be developed as the fourth addition of the Taikoo Li commercial projects, and features a hotel, serviced residences, commercial and retail properties, cultural facilities, and other ancillary facilities. SPL will be committing RMB 7 billion to the entire project. The project is expected to be completed in 2025, four years after completing SPL’s retail complex in Shanghai's Qiantan business district.
KKR to Acquire Outstanding Shares of MC-UBSR in a Strategic Transaction
The US-based global investment company, KKR & Co.Inc. (“KKR”) announced the signing of a strategic transaction by KKR’s subsidiary 76KK, which is set to acquire all of the outstanding shares of Mitsubishi Corp.-UBS Realty Inc. (“MC-UBSR”) from the Japan-based Mitsubishi and UBS Asset Management (“UBS-AM”) in an all-cash transaction valued at JPY230 Billion (approximate USD2 billion). Founded in 2000, MC-UBSR is one of Japan’s largest real estate asset managers, with USD15 billion assets under management. The corporation manages two Tokyo Stock Exchange-listed REITs: Japan Metropolitan Fund Investment Corporation (“JMF”) and Industrial & Infrastructure Fund Investment Corporation (“IIF”). JMF is an index that invests in retail, offices, hotels, and other assets located in urban areas with a total of USD11 billion under asset management. JMF currently owns the 130-key OMO3 Tokyo Akasaka, 186-key Dormy Inn Hakata Gion, 120-key The Millennials Shibuya and 152-key The Millennials Kyoto in their portfolio. 76KK will also acquire the shares of JMF and IIF currently held by Mitsubishi at market price to strengthen the alignment of interest between KKR and the unitholders.
FEC acquires R&F Properties VS for GBP95.7 million and Provides a Repurchase Option
Hong Kong-based Far East Consortium International Limited ("FEC") announces that Next Talent Developments Limited, a subsidiary of FEC, has entered a sale and purchase agreement ("SPA") with Big Brilliance Limited ("Big Brilliance"; a wholly-owned subsidiary of China-based Guangzhou R&F Properties Co., Ltd.). FEC will acquire the entire issued share capital of R&F Properties VS(UK) Co. Limited ("Target Co.") and the intercompany loans at GBP95.7 million. The Target Co. is currently developing a mixed-use development known as ‘Vauxhall Scheme’ located at Vauxhall Square, London. The project spans a gross floor area of approximately 133,000 square metres with hotel and hostel, residential, office, retail and leisure components. In addition, Big Brilliance can repurchase the entire issued share capital of the Target Co. and the intercompany loans from Next Talent on or before six months after completion of the acquisition at GBP106.6 million, plus certain costs and expenses.
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