Ascott reaches 40,000 unit milestone ahead of schedule

George Sell George Sell Uploaded 04 June 2015


Singapore: The Ascott Limited has achieved its target of 40,000 apartment units under management globally ahead of its planned schedule of the end of 2015.

Ascott has secured 10 new management contracts in China (Nantong, Xiamen, Hangzhou, Tianjin, Wuxi and Nanjing), Indonesia (Jakarta), Thailand (Bangkok and Sri Racha) and Oman (Muscat).

These 10 developments have increased Ascott's portfolio by more than 2,000 units to 41,000+ units in 270 properties across 91 cities in 25 countries.

Lee Chee Koon, Ascott's CEO, said: "Ascott has been expanding aggressively to achieve our milestone of 40,000 units globally ahead of schedule. This year, Ascott has so far added 18 properties in China, Indonesia, Malaysia, Thailand, Turkey, Vietnam, Oman and the UAE. We also opened eight properties with another 15 more to open in China, India, Indonesia, Korea, Malaysia, the Philippines, Oman and Saudi Arabia this year. Such an expansive growth demands an intimate understanding of the market and an ability to establish the right local alliances. To double our portfolio to 80,000 units by 2020, our strategy is to expand through investments, management contracts, strategic alliances and franchises."

"As we seek to deepen Ascott's presence in key cities in Asia Pacific, Europe and the Gulf region, we will take advantage of economies of scale across our global footprint to reap operational efficiencies, cost savings as well as international sales and marketing benefits. We will also be able to harness our wealth of knowledge and experience in managing 270 properties across 91 cities, to provide support in the areas of architectural and interior design, project and construction management, as well as procurement-related services," added Lee.

In China, Ascott has secured contracts for the 160-unit Ascott Harmony City Nantong, the 242-unit Ascott Marina Xiamen (opening 2020), 224-unit Ascott TEDA MSD Tianjin (opening end 2015), 218-unit Somerset Qianjiang Xincheng Hangzhou (opening 2018), 184-unit Somerset Harmony City Wuxi (opening 2017), 204-unit Somerset Olympic Nanjing and an adjacent block with 361 apartments (opening from 2016). The new properties will strengthen Ascott's position as the largest international serviced residence owner-operator in China with more than 14,000 units in 77 properties.

In Indonesia, the Ascott Menteng Jakarta with an estimated 150 units is scheduled to open in 2019. In Thailand, Ascott has secured the 125-unit Somerset Maison Asoke Bangkok (opening 2018) and 193-unit Somerset Harbourview Sri Racha (opening 2017). And in the Sultanate of Oman, Ascott has secured a contract to manage its first Citadines Apart'hotel in the country. The 87-unit Citadines Al Ghubrah will open in 2017.

Lee said: "China is our biggest market where we expect to have 20,000 units by 2020. In addition to expatriates, our serviced residences are seeing an increasing number of domestic customers who are travelling within the first- and second-tier cities for project assignments or leisure, and we expect this trend to continue. Besides adding six properties in China, we are bringing our Citadines brand to Oman and growing our presence in Indonesia and Thailand. Massive infrastructure developments and economic growth have fuelled strong expatriate arrivals and accommodation demand in Oman. Indonesia's domestic economy and consumption growth is sustainable and robust, while large infrastructure developments in the pipeline will lay the foundation for additional foreign investment. Thailand's tourism board has undertaken numerous marketing campaigns worldwide to boost international arrivals to the kingdom. We see the potential to build greater scale in these markets."  

"As we expand Ascott's presence, we will leverage our global marketing and sales network, strong product development and design capabilities to add value to our assets for property owners. Innovation is also a key driver of Ascott's growth and we are already testing smart technologies with the aim to roll it out at our serviced residences globally from 2016 onwards," added Lee.


Be in the know.

Subscribe to our newsletter »

Thank you sponsors