Singapore's CapitaLand adds D.C., Dhaka apartments with Oakwood buy

[steveluv]

https://asia.nikkei.com/Business/Markets/Property/Singapore-s-CapitaLand-adds-D.C.-Dhaka-apartments-with-Oakwood-buy?utm_campaign=GL_asia_daily&utm_medium=email&utm_source=NA_newsletter&utm_content=article_link&del_type=1&pub_date=20220705123000&seq_num=14&si=44594

Singapore's CapitaLand adds D.C., Dhaka apartments with Oakwood buy
Earnings driver Ascott gains 15,000 serviced units in 15 countries via deal

Oakwood Worldwide carries 15,000 serviced apartments stretching from Southeast Asia and China to North America. (Photo from CapitaLand's website)
TAKASHI NAKANO, Nikkei staff writerJuly 5, 2022 01:40 JST

SINGAPORE -- CapitaLand Investment, one of Singapore's top real estate groups, will widen the reach of its serviced apartment business with an acquisition that adds 15,000 units across 15 countries.

The group's lodging unit Ascott will buy Oakwood Worldwide from Mapletree Investments, a property arm of state investor Temasek, for an undisclosed price, CapitaLand said Monday. The transaction is expected to conclude by the end of September.

The deal for Oakwood, a prominent brand in Asia, bolsters a segment that generates one-quarter of CapitaLand's earnings.

With the end of coronavirus-related restrictions around the world opening the prospect of a recovery in business and tourism travel, CapitalLand is making its move.

Ascott oversees 135,000 serviced apartments including properties under development. Oakwood will bring in thousands of midrange and high-end lodgings.

The acquisition expands Ascott's portfolio by 11% to 150,000 units, adding 5,700 in Southeast Asia, 3,100 in China and 2,200 in Japan and South Korea. Oakwood also operates in areas where Ascott lacks a presence, such as the Chinese city of Qingdao, Dhaka and Washington, D.C.

Lodging operations provided 26% of CapitaLand's 2.4 billion Singapore dollars ($1.71 billion) in earnings before interest, taxes, depreciation and amortization (EBITDA) for the fiscal year ended in December. The group has expanded its presence in this segment through acquisitions, including a 2018 deal for Indonesia's Tauzia Hotel Management.

"There are significant synergies between Ascott and Oakwood, given our complementary footprint and product offerings," Kevin Goh, CapitaLand's chief executive for lodging, said in a news release. "We intend to build on the strong reputation and heritage of the Oakwood brand, especially in markets across Southeast Asia, North Asia and North America."

[ToyotaShuttle]

bangla? good bye money.

[Soya]

Is someone gonna start to kpkb that cars are cheaper in DC & Dhaka?.....