SINGAPORE (THE BUSINESS TIMES) – In the first five months of 2020, CapitaLand’s lodging business unit The Ascott Limited secured contracts for 25 new properties. The contracts cover 5,400 units across 19 cities, the property giant said on Wednesday.
This is the largest number of new properties clinched in the first five months of any year, CapitaLand said. The number of units secured has also doubled compared with the same period a year ago.
Through the new properties, Ascott will expand its geographical reach into four new major cities in China, Indonesia and Morocco. In China, it will enter Zhengzhou, the capital of Henan province, and Nanchang, the capital and largest city of Jiangxi province.
The company will also enter Jayapura, the capital and largest city of Indonesia’s Papua province, as well as Casablanca, the largest city of Morocco.
The 25 new properties have been secured under management contracts, franchise contracts, and a lease. They will open in phases between 2020 and 2024.
Kevin Goh, CapitaLand’s chief executive officer (CEO) for lodging and Ascott’s CEO, said Ascott has a strong base of long-stay guests, which has enabled its serviced residences globally to maintain robust average occupancy rates.
“We have already taken steps to ready Ascott to be the accommodation of choice in a post-Covid-19 landscape and will continue to cement Ascott’s position as a dominant lodging player and deliver more value for our guests and business partners,” he added.
This year, Ascott opened six new properties in Singapore, Changsha and Tianjin in China, Gold Coast in Australia, Osaka in Japan, and Tours in France.
CapitaLand shares closed at S$3.03 on Tuesday, up S$0.07 or 2.4 per cent.
This version of article first appeared at The Straits Times, Business