Australia: Quest Serviced Apartments has sold off two developments for a combined AUS$26.5 million.
A syndicate of investors led by financial adviser and
accountancy firm Crowe Horwarth has bought the 65-unit Quest Dubbo
in NSW for $14.7 million, and a local private investor has bought
the 69-unit Quest Shepparton in Victoria for $11.8m. Both
properties were developed by Quest in 2008.
The company is also looking to sell developments in Mackay, Ipswich and Mildura.
Chief executive Zed Sanjana said: "We had a much larger portfolio four years ago, we had about 15 properties. We have sold most of them - everything is always for sale at the right price, but we are happy to hold the assets ourselves."
"We are refocusing on what we do best, which is franchising. There is a really strong appetite in the investment community for hospitality assets. Serviced apartments as an asset class in itself provides investors with a stable rental income stream. And yields are quite attractive at the moment," he added.