CapitaLand’s wholly owned serviced residence business unit, The Ascott Limited (Ascott), has secured seven new properties with 1,714 units across seven cities in Asia – Karawang in Indonesia; Putrajaya in Malaysia; Danang in Vietnam; Tokyo in Japan; and Changsha, Shanghai and Shaoxing in China. Ascott is poised to outpace its growth in 2015, as the world’s largest international serviced residence owner-operator has already secured more than 5,000 units in 26 properties in the first six months of this year.
Mr Lee Chee Koon, Ascott’s Chief Executive Officer, said: “Ascott is set to continue this expansion momentum for the rest of the year to outperform 2015, which was our record year of growth with a total of 6,700 units added to our portfolio. We are able to scale up quickly because of the strong alliances with global partners, as well as industry leaders from land owners to property developers, construction firms, online platforms and tech companies; all of whom recognise Ascott’s expertise and strength as a global serviced residence leader. Somerset West Hongqiao Shanghai is our second property secured under our strategic alliance with Dongfu Investment Development Corporation – a subsidiary of China State Construction Engineering Company, China’s largest construction firm. The upcoming Citadines Blue Cove Danang is also testament to our local partner’s confidence in Ascott as it will be Vietnam’s largest serviced residence and our largest property globally with 550 units.”
He added: “This year, we have added more than 5,000 units in 26 properties, 22 of which are in Asia, while the remaining properties are in New York, London and Al Khobar in the Middle East. The addition of these seven management contracts will further boost our income from management fees. With a strong reputation built for our award-winning brands and the value we provide to property owners – through our expertise in design, operations, global sales and marketing as well as our experience in managing properties worldwide, we are confident of achieving our target of 80,000 units globally by 2020. We will be looking to establish more strategic alliances with partners and seek more investment opportunities, management contracts and franchises.”
Southeast Asia remains Ascott’s fastest growing market and second largest globally after China where it has the most number of properties. The seven new serviced residences deepen Ascott’s presence in Danang, Changsha, Shanghai and Tokyo, and enables Ascott to bring its award-winning brands to two new cities in Asia. Karawang in West Java is one of the fastest growing industrial hubs, home to the manufacturing facilities of many Japanese automotive, electronics and consumer brands while Putrajaya serves as the federal administrative centre of Malaysia. Danang is a gateway city to Central Vietnam, with various large-scale infrastructure projects to improve accessibility to surrounding hi-tech parks and drive tourism.
Ginza, Tokyo is Japan’s most famous luxury shopping, dining and entertainment district and expects to see more visitors as the country aims for 40 million tourists annually. Shanghai, Shaoxing and Changsha are economic hubs with strong demand for quality serviced residences. Shanghai accounts for more than 20% of China’s gross domestic product, Shaoxing is home to one of China’s major textile trade centres that have attracted domestic and foreign businesses from across the world, and Changsha hosts one of China’s national development zones with more than 1,600 companies present.
The 124-unit Somerset Ginza East Tokyo is slated to open in July this year while the 135-unit Citadines Festive Walk Karawang, 550-unit Citadines Blue Cove Danang, 180-unit Citadines Xingsha Changsha and 250-unit Citadines Keqiao Shaoxing will be opening in 2018. The 200-unit Somerset West Hongqiao Shanghai will welcome its first guests in 2019 while the 275-unit Somerset Putrajaya is expected to open in 2020.
About The Ascott Limited
The Ascott Limited is a Singapore company that has grown to be the world’s largest international serviced residence owner-operator. It has over 28,000 operating serviced residence units in key cities of the Americas, Asia Pacific, Europe and the Middle East, as well as over 19,000 units which are under development, making a total of more than 47,000 units in over 290 properties.
The company operates three award-winning brands – Ascott, Citadines and Somerset. Its portfolio spans 103 cities across 27 countries.
Ascott, a wholly owned subsidiary of CapitaLand Limited, pioneered Asia Pacific’s first international-class serviced residence with the opening of The Ascott Singapore in 1984. In 2006, it established the world’s first Pan-Asian serviced residence real estate investment trust, Ascott Residence Trust. Today, the company boasts over 30 years of industry track record and award-winning serviced residence brands that enjoy recognition worldwide.
Ascott’s achievements have been recognised internationally. Recent awards include World Travel Awards 2015 for ‘Leading Serviced Apartment Brand’ and ‘Leading Serviced Apartments’ in Belgium, France, Germany, Hong Kong, Philippines, Singapore, Spain, Thailand and Vietnam, Business Traveller Asia-Pacific Awards 2015 for ‘Best Serviced Residence Brand’, Business Traveller UK Awards 2015 for ‘Best Serviced Apartment Company’, Business Traveller China Awards 2015 for ‘Best Serviced Residence Brand’ and ‘Best Serviced Residence’, Business Traveller Middle East Awards 2016 for ‘Best Serviced Apartment Company’, TTG China Travel Awards 2016 for ‘Best Serviced Residence Operator in China’ and DestinAsian Readers’ Choice Awards 2016 for ‘Best Serviced Residence Brand’.