13/08/2014 - 04:59

Singaporean group buys Criterion Hotel

13/08/2014 - 04:59

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Hay Street’s Criterion Hotel has been bought by a private Singaporean property investment group for $16.5 million.

Singaporean group buys Criterion Hotel

 

Hay Street's Criterion Hotel has been bought by a private Singaporean property investment group for $16.5 million.

The purchase, by Singapore's Sunland Australasia Properties, is an indication that Perth CBD hotels remain attractive to offshore buyers, according to selling agent JLL.

The deal was brokered by JLL's Aaron Desange on behalf of the vendor, Singapore-based Gemtower Holdings.

The 3.5 star, 69-room hotel had been on the market since April.

"Similar to other recent hotel transactions in the Perth CBD, the Criterion Hotel attracted wide-ranging investor enquiry from South-East Asian, Chinese and domestic investors," Mr Desange said.

"We are continuing to see new entrants to the market, many of whom are well capitalised and in a position to acquire sizeable hotel assets immediately."

He said Sunland Australasia was particularly drawn to the location of the hotel, at 560 Hay Street, in close proximity to BGC and Starwood Hotels' Westin proposal at 480 Hay Street.

"Mid-scale boutique hotels that are available with vacant possession and have the ability to be repositioned are exceptionally desireable to purchasers," Mr Desange said.

"Groups understand the value-add options that these assets offer and the scarcity of them becoming available."

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