Ascott Sells Stake In London Residence, As Part Of Asset Light Strategy
The Ascott Group has completed the sale of Somerset Kensington Gardens, a 40-unit serviced residence in central London in which it owns a 50 per cent interest, for £9.5 million (S$26.8 million).
Ascott’s share of gain from the sale, which was through an associate company, is £0.3 million (S$ 0.8 million). A leading international serviced residence operator, Ascott had acquired its interest in the property as part of its joint venture in the UK with Crown Dilmun Serviced Apartments in November 2001.
Located in Bayswater, close to Hyde Park, Notting Hill, Portobello Market and Paddington Station, Somerset Kensington Gardens was opened in the second half of 2002. Ascott will continue to manage the serviced residence, under a new management contract.
The divestment is in line with Ascott’s strategy to rationalise its investment portfolio to be asset light.
The Ascott Group is the largest international serviced residence company in Asia Pacific and Europe, with more than 13,500 serviced apartments in 38 cities. In the UK, Ascott operates 1,400 serviced residence units in 13 properties.
In Europe, Ascott has a 50 per cent stake in the Citadines pan-European chain, which operates over 5,100 serviced apartments across France, Belgium, Germany, Spain and the UK.
Ascott is the serviced residence arm of CapitaLand Limited, one of the largest listed property companies in Asia.
The divestment is expected to increase Ascott’s earnings per share by 0.05 cents, and decrease its net tangible assets per share by 0.04 cents for the financial year ending December 31, 2003.
About The Ascott GroupThe Ascott Group is a leading international serviced residence company with serviced residence units spanning the gateway cities of Europe, Southeast Asia, North Asia and Australasia.
Ascott's global presence comprises 13,500 serviced residence units in more than 110 properties across 38 cities in 15 countries. These cities include London, Paris, Brussels, Berlin and Barcelona in Europe; Singapore, Bangkok, Ho Chi Minh City, Kuala Lumpur, Tokyo, Shanghai and Beijing in Asia; and Sydney, Melbourne and Auckland in Australasia.
Headquartered in Singapore, The Ascott Group pioneered the Asia Pacific’s first branded luxury serviced residence in 1984. Today, it boasts a 19-year industry track record and serviced residence brands that enjoy strong recognition worldwide.
The Group’s flagship The Ascott luxury serviced residence brand projects an elegant lifestyle appealing to top executives. Its Somerset upper-tier brand offers stylish, contemporary living for senior to upper management executives. The mid-tier Oakford brand in Australia and Citadines brand in Europe provide corporate executives with comfortable city residences.
Listed on the mainboard of the Singapore Exchange, the Group is the serviced residence arm of CapitaLand Limited, one of the largest listed property companies in Asia.
Headquartered in Singapore, CapitaLand Limited’s core businesses in residential, commercial and industrial property and property related services, such as property funds and real estate financials, are focused in selected gateway cities in China, Australia and the UK. Its hospitality businesses, in serviced residences and hotels, have a global footprint in more than 50 cities worldwide.
For reservations on Ascott properties, call Central Reservations on (65) 6272-7272 or visit the Group’s website at www.the-ascott.com