Ascott is acquiring a prime property in the heart of Islington, London through its serviced residence global fund with Qatar Investment Authority (QIA). It will be an investment totaling £52 million in the 108-unit property which will be named Citadines Islington London.
Citadines Islington London is the US$600 million fund’s third investment, barely five months after its maiden acquisition of two properties in Paris and Tokyo in November 2015.
The addition of Citadines Islington London will strengthen Ascott’s position as one of the largest international serviced residence operators in Europe, with an asset size of over S$1.5 billion.
“Our portfolio in the region will increase to more than 5,300 units in 45 properties across France, United Kingdom, Belgium, Germany, Georgia and Spain. We aim to double our portfolio in Europe to 10,000 units by 2020” said Mr Lee Chee Koon, Ascott’s Chief Executive Officer.
Set up through a 50:50 joint venture with QIA in July 2015, the serviced residence global fund is Ascott’s largest private equity fund. It invests in serviced residences and rental housing properties with an initial focus on Asia Pacific and Europe. In November 2015, Ascott and QIA announced the fund’s investment in two properties in Paris and Tokyo for US$137 million. The luxury serviced residence near Champs-Élysées, La Clef Champs-Élysées Paris, is set to open in 2018, while Somerset Shinagawa Tokyo is already operational.
In London, Ascott operates close to 1,000 units across seven properties – Ascott Mayfair, The Cavendish, Citadines Barbican, Citadines Holborn-Covent Garden, Citadines South Kensington, Citadines Trafalgar Square and Citadines St Mark's – Islington.