This article is from the Australian Property Journal archive
ASTUTE Malaysian developer UEM Sunrise Berhad has sold the serviced apartments component of the Aurora Melbourne Central development to Ascendas Hospitality Trust (A-HTRUST) for $120 million.
The $770 million mixed-use Aurora Melbourne Central will comprise 252 serviced apartments located on levels 10 to 32, along with common facilities for guests located on level nine and a restaurant on the ground floor.
“We are pleased to have inked this agreement with Ascendas Hospitality Trust for the serviced apartments at Aurora Melbourne Central,” UEM Sunrise CEO Anwar Syahrin Abdul Ajib said.
“This is not UEM Sunrise’s first strategic collaboration with the Ascendas Group. We are collaborating on a 60:40 joint venture with Ascendas Group to develop an integrated eco-friendly 519-acre Nusajaya Tech Park in Iskandar Malaysia, and Phase 1 is scheduled to be completed next year.
“It is a resounding win for UEM Sunrise and Ascendas Hospitality Trust, which enables both parties to create a sustainable business environment. Ascendas Hospitality Trust has an impressive portfolio of hospitality assets in the Asia Pacific Region and we look forward to the Serviced Apartments at Aurora Melbourne Central becoming one of the Ascendas Hospitality Trust’s most significant assets Anwar Syahrin added.
Ascendas CEO Tan Juay Hiang said the acquisition will strengthen the group’s business in Australia.
“We are very pleased that UEM Sunrise has offered us this rare opportunity to acquire a quality asset in an excellent location within the heart of Melbourne city. This will strengthen our foothold in a city which we believe will continue to be a key destination in Australia for business as well as leisure travellers.
“This property will enhance our existing portfolio and there may be potential synergy with our existing hotel in Melbourne – Pullman and Mercure Melbourne Albert Park. We believe this acquisition can also create value for our stapled security holders as it is expected to be accretive to distribution per stapled security,” Tan said.
Upon completion in 2019, Aurora Melbourne Central will become the tallest building in Melbourne’s CBD. The 92-storey development comprises more than 120,000 sqm of built-up area and includes 941 residential apartments, retail spaces, strata offices as well as the 252-room serviced apartments.
Australian Property Journal
