Singapore: The Ascott Limited has formed a strategic alliance with Beijing Vanke, a subsidiary of Vanke China, to drive Ascott's expansion plans in China.
Vanke is one of the largest property developers in the country.
Under the new arrangement, Beijing Vanke "will leverage its
significant presence and expertise to develop serviced residences
in China. Ascott will in turn provide its leading capabilities in
managing award-winning serviced residences".
Ascott has also secured contracts from Beijing Vanke to manage two more serviced residences in Beijing. Ascott's first Citadines-branded serviced residence in Beijing, the 157-unit Citadines Daxing Beijing, and the 198-unit Somerset Shunyi Beijing are both scheduled to open in 2017.
Kevin Goh, Ascott's managing director for North Asia, said: "China remains our key growth market. Besides expanding through management contracts and investments, strategic alliances with leading developers like Vanke will enable us to combine our expertise and industry knowledge to create a mutually beneficial partnership for both Ascott and Vanke. With these two latest contracts in Beijing, Ascott will manage a total of four serviced residences with close to 700 apartment units for Vanke, including the premier Ascott Midtown Suzhou which just opened in April 2014 and Somerset Wuxi which is expected to open next year. We look forward to growing our partnership with Vanke in the future."
"In China, Ascott will continue to seek opportunities in gateway cities and high growth cities with strong demand for serviced residences. As the capital city of China, Beijing is one of the most important economic centres as well as transportation and communications hubs. More than 300 Fortune Global 500 companies have established their headquarters or branch offices in Beijing. The addition of the two new properties will serve the market well and further strengthen Ascott's foothold in Beijing," he added.