Ascott Forms Strategic Alliance With Yuexiu Property And Deepens Its Presence In Guangzhou With Two New Contracts
Singapore, 17 January 2013 – CapitaLand’s wholly-owned serviced residence business unit, The Ascott Limited (Ascott), has entered into a strategic alliance with Yuexiu Property Company Limited (Yuexiu Property), one of the largest property developers in Guangzhou, to drive its expansion plans in China. For this strategic alliance, Hong Kong-listed Yuexiu Property will leverage on its significant presence and expertise to acquire and develop serviced residences in China. Ascott will in turn provide its leading capabilities in managing award-winning serviced residences.
Besides establishing a strategic alliance with Yuexiu Property, Ascott has separately secured contracts in Guangzhou to manage two more serviced residences named Citadines LiZhiWan Guangzhou and Somerset Riviera Guangzhou. Slated to open in the second half of 2013, the two properties will strengthen Ascott’s leadership position as the largest international serviced residence owner-operator in China, with over 8,000 apartment units in 46 properties across 17 cities.
Mr Lee Chee Koon, Ascott’s Deputy Chief Executive Officer and Managing Director for North Asia, said: “China is a key market for Ascott as it continues to attract significant foreign direct investment which generates increasing demand for serviced residences. To achieve our target of 12,000 apartment units in China by 2015, we will expand in tier one cities like Beijing, Shanghai and Guangzhou as well as other high growth cities through investments and management contracts. Strategic alliances with leading developers like Yuexiu Property will enable us to combine our expertise and industry knowledge to further extend Ascott’s lead in China.”
Mr Lee added: “Guangzhou is among the top three cities in China with the strongest economic growth. Its economy has expanded by 15% annually for the past five years. Besides attracting investments from multinational companies in industries such as manufacturing, automobile and banking, Guangzhou is a leading city for international trade fairs. By deepening our presence in Guangzhou, we will be able to cater to the strong demand for quality accommodation by foreign and domestic travellers.”
Mr Zhu Chen, Yuexiu Property’s General Manager, said: “We entered into a strategic alliance with Ascott due to its strong branding, worldwide network and reputation for product and service excellence. Our companies first collaborated when we awarded the management contract for the premier Ascott IFC Guangzhou in 2010. The serviced residence is part of our new Guangzhou International Finance Centre which aims to be the most successful mixed development in the city. We are confident that the serviced residence will perform very well given Ascott’s track record.”
About Citadines LiZhiWan Guangzhou and Somerset Riviera Guangzhou
The 34-unit Citadines LiZhiWan Guangzhou is strategically located in the city’s historic LiZhiWan area which will be redeveloped as a commercial and cultural hub. The serviced residence is situated along a scenic river lined with antique shops and The Liwan Museum. It is also within walking distance from Longjin West Road which is known for its many Cantonese restaurants.
The serviced residence will provide independent travellers the flexibility to choose the services they require, a range of studios and one-bedroom apartments, as well as facilities such as a breakfast lounge, gymnasium and business centre.
The 32-unit Somerset Riviera Guangzhou is situated right next to the Pearl River and offers spectacular views of Er-sha Island and Dongshan Lake Park. The serviced residence is well connected to the city’s major roads, and provides convenient access to Zhujiang New Town and Tianhe Bei business districts where many multinational companies, shopping, dining and entertainment outlets are located.
All apartments in Somerset Riviera Guangzhou will be spacious four-bedroom units that are ideal for expatriates and travellers with families. Residents can enjoy facilities including a swimming pool, gymnasium, residents’ lounge and business centre.
In Guangzhou, Ascott currently operates Ascott Guangzhou, Ascott IFC Guangzhou and Springdale Serviced Residence Guangzhou.
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 more than 22,000 operating serviced residence units in key cities of Asia Pacific, Europe and the Gulf region, as well as over 8,000 units which are under development, making a total of more than 31,000 units in over 200 properties.
The company operates three brands – Ascott, Citadines and Somerset. Its portfolio spans over 70 cities across more than 20 countries, 14 of which are new cities in Ascott’s portfolio where its serviced residences are being developed.
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 a 29-year industry track record and award-winning serviced residence brands that enjoy recognition worldwide.
Ascott's achievements have been recognised internationally. Recent awards include DestinAsian Readers’ Choice Awards 2012 for ‘Best Serviced Apartment’, TTG Travel Awards 2012 for ‘Best Serviced Residence Operator’, TTG China Travel Awards 2012 for ‘Best Serviced Residence Operator in China’, Business Traveller Asia-Pacific Awards 2012 for ‘Best Serviced Residence Brand’ and ‘Best Serviced Residence in Asia-Pacific’, and Business Traveller UK Awards 2012 for ‘Best Serviced Apartment Company’.
Visit www.the-ascott.com for more information and connect with us on social media at www.the-ascott.com/connect.
About CapitaLand Group
CapitaLand is one of Asia’s largest real estate companies. Headquartered and listed in Singapore, the multi-local company’s core businesses in real estate, hospitality and real estate financial services are focused in growth cities in Asia Pacific and Europe.
The company’s real estate and hospitality portfolio, which includes homes, offices, shopping malls, serviced residences and mixed developments, spans more than 110 cities in over 20 countries. CapitaLand also leverages on its significant asset base, real estate domain knowledge, financial skills and extensive market network to develop real estate financial products and services in Singapore and the region.
The listed entities of the CapitaLand Group include Australand, CapitaMalls Asia, CapitaMall Trust, CapitaCommercial Trust, Ascott Residence Trust, CapitaRetail China Trust, CapitaMalls Malaysia Trust and Quill Capita Trust.
About Yuexiu Property Company Limited
Yuexiu Property Company Limited (HKEx Stock Code: 00123) was listed in Hong Kong in 1992. The company’s main business is property development with its operations mainly concentrated in Guangzhou, subsequently expanding to the Pearl River Delta and branching out to selective locations in the Yangtze River Delta, Bohai Rim Economic Zone and Central Region. As of 30 June 2012, the combined gross floor area of the company’s properties under development and undeveloped properties was approximately 11.53 million square metres.
One of the company’s landmark projects is the Guangzhou International Finance Centre (GZ IFC) a premium mixed development which comprises exclusive Ascott serviced residences, a grade A office building, a shopping mall, a five-star hotel and an international conference centre. With a prime location in the central business district, GZ IFC has attracted many multinational companies as tenants and it is currently one of the top 10 tallest skyscrapers in the world.
For more information on Yuexiu Property, visit www.yuexiuproperty.com.