SINGAPORE (May 5): The Ascott Ltd, CapitaLand’s wholly-owned serviced residence business unit, has acquired a prime property on New York’s Fifth Avenue.

Ascott will also invest a total of close to US$50 million (S$68 million or RM217 million) in the property.

The operating 125-unit Hotel Central Fifth Avenue New York will undergo renovation in phases to prepare for its rebranding to Citadines Fifth Avenue New York in 2018.

This will mark the debut of Ascott’s first Citadines serviced residence in the US.

The property is centrally located at 15 West 45th Street along the prestigious Fifth Avenue shopping street and near Times Square, one of the world’s most visited locations with more than 40 million visitors each year.

It is also close to the Grand Central Station, easily accessible by subway and bus.

In 2016, New York City broke record with its highest ever visitor arrival – more than 60 million visitors – marking the seventh year of consecutive growth. Hotel room nights sold also increased by 1.2 million to 34.9 million nights last year.

Lee Chee Koon, Ascott’s CEO, said: “The debut of our Citadines brand in North America is a significant move to expand Ascott’s global network of properties. Citadines is Ascott’s fastest-growing brand, having more than tripled its portfolio since our acquisition of the Citadines Apart’hotel chain in Europe in 2004. We have since brought the brand to Asia-Pacific, Middle East, South America and now the US.”

With this latest acquisition in New York, Ascott has added 10 properties with 1,900 units to date this year, across China, Brazil, South Korea and the US.

Shares of CapitaLand closed two Singapore cents lower at S$3.64. — theedgemarkets.com.sg

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