New branded hotels to add value to IOI’s portfolio

KUALA LUMPUR: IOI Properties Group Bhd expects the addition of five-star Le Meridien Putrajaya and the four-star Four Points by Sheraton Puchong to contribute positively to its portfolio.

Starwood Hotels & Resorts Worldwide Inc signed an agreement with IOI Properties to manage the two hotels yesterday. The hotels will add 599 rooms to Starwood’s portfolio in Malaysia.

“We believe that the investment we put into the hotels will add value to our developments,” said IOI Properties chief executive officer Lee Yeow Seng at the signing ceremony.

He said Four Points by Sheraton Puchong will serve the growing commercial presence in Bandar Puteri Puchong and residents in the area, while Le Meridien Putrajaya will complement its existing four-star Palm Garden Hotel and the five-star Putrajaya Marriot Hotel in IOI Resort City.

The 249-room Four Points by Sheraton Puchong is located in Puchong Financial Corporate Centre (PFCC) in Bandar Puteri Puchong, and is scheduled to open in the fourth quarter of this year.

The hotel will have 1,110 sq m of meeting space, including an 800-sq m ballroom. It will be the first Four Points by Sheraton in the Klang Valley and the fifth in the country.

The 350-room Le Meridien Putrajaya is located close to the city’s commercial and retail areas, including IOI City Mall, which is expected to open late this year. It will have more than 1,630 sq m of meeting and event space, including a grand ballroom. Le Meridien Putrajaya will be the brand’s third hotel in Malaysia after Le Meridien Kuala Lumpur and Le Meridien Kota Kinabalu.

“We are not growing for the sake of growing. We look at the location and try to fit the right hotel brand. It is also very important to find the right partner, and we believe IOI Properties is definitely the partner for us,” said Chuck Abbott, regional vice-president, Southeast Asia, Starwood Hotels & Resorts.

“Malaysia’s strong economic growth and healthy tourism arrivals present us with a very exciting growth opportunity. Our development in the fast-growing districts of Puchong and Putrajaya will enable us to cater to Malaysia’s growing middle class and the increased number of business and leisure travellers in the market,” said Matthew Fry, senior vice-president, acquisition and development, Asia-Pacific, Starwood Hotels & Resorts, in a statement.

Starwood currently operates 12 hotels in the country’s key destinations, including Kuala Lumpur, Langkawi, Penang and Kuching.

This article first appeared in The Edge Financial Daily, on June 13, 2014.

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