PETALING JAYA (Aug 1): Malaysia-based integrated hospitality owner and developer Cornerstone Partners Group is developing its maiden property project in Melbourne, Australia.
In a press release yesterday, the group said the 30-storey tower with hotel and office components has an estimated gross development value of RM420 million. The project will see the first YOTEL hotel in Melbourne which will be located on City Road in Southbank within walking distance from the Crown Melbourne, Southbank Promenade, Arts Precinct, Federation Square, as well as surrounded by other world-class entertainment outlets, amenities and education institutions. YOTEL takes the essential elements of luxury hotels into smaller, smart spaces with a sense of community with areas for co-working, social gatherings and exercise.
In a signing ceremony between Cornerstone and YOTEL on July 17 in Sydney, Cornerstone CEO Jason Chong said that leveraging on their project development capabilities, Cornerstone Partners Group is focused on fulfilling gaps in hospitality markets across Asia-Pacific.
“We are excited to introduce the story of Cornerstone Partners Group to Australians, particularly with a development the likes which Southbank has never seen before. We believe in Australia, there is an avenue for disruptive brands such as YOTEL, which offer something completely new to the market. We were also impressed by YOTEL’s global development pipeline, focused on key gateway markets, which fits perfectly with our strategy, therefore it was only natural to join forces on our first project in Australia in Melbourne, one of the country’s most cosmopolitan and urbanised cities," Chong added.
Meanwhile, YOTEL CEO Hubert Viriot said that while Australia is a very sophisticated hotel market with strong stakeholders, they believe that the affordable luxury segment has been under-served and that’s what YOTEL intends to solve
“Over the past two years, we have been actively searching for the right locations and partners to roll out our brands in Australia, a key market for our global expansion and a key feeder market for our hotels in the US, Singapore and the UK. Moreover, we are delighted to enter the market with Cornerstone Partners Group,” said Viriot.
Among other projects which Cornerstone owns across Asia-Pacific include the DoubleTree Resort by Hilton Penang, Kimpton Da An Hotel Taipei in Taiwan and CitizenM in Kuala Lumpur with US$200 million worth in direct investments.