CapitaLand Ascott Trust (CLAS) is selling The Robertson House by The Crest Collection hotel in Singapore to an unrelated third party for S$360m (€242m).
The 336-unit bespoke hotel will be divested at 4% above book value at close to S$1.1m per key for the property located in central Singapore, alongside the Singapore River.
CLAS said the divestment further enhanced its financial flexibility, and it would redeploy the proceeds into higher-yielding properties as well as repay higher-interest debt, among other general corporate purposes.
The Crest Collection is the trust’s European luxury brand, and it had previously stated its intention to grow the brand in Asia and the Middle East to meet a market shift to heritage buildings and high-end accommodation.
Serena Teo, CEO of CapitaLand Ascott Trust Management and CapitaLand Ascott Business Trust Management, said: “Singapore remains a key market for CLAS. Post-divestment, CLAS will have four lodging properties in Singapore.”
Teo said future growth for the trust would come from its asset enhancement programme and development projects.
The group is currently refurbishing four assets, with completions scheduled for this year and next.
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