[UPDATE] Andaz Singapore hotel at Duo sold to Hoi Hup for record $475 mil

SINGAPORE (EDGEPROP) - M+S has agreed to sell all the shares of its wholly-owned subsidiary, Ophir-Rochor Hotel, to Hoi Hup Realty for a sale consideration of $475 million or $1.39 million per key. Ophir-Rochor Hotel is the developer and owner of Andaz Singapore, the five-star luxury hotel by Hyatt Hotels at the mixed-use Duo development in Bugis.
Andaz Singapore is a 342-room hotel that features several dining options, a rooftop venue, an observation deck, and meeting facilities. The hotel occupies the top 15 floors of the 20-storey Duo Tower which also houses offices on the lower floors.
The $475 million price will be the highest ever achieved for a standalone hotel deal in Singapore, and is the third most expensive hotel sale in Asia so far this year. “This record sale illustrates the confidence investors have in Singapore and its hotel real estate market,” says Mike Batchelor, CEO Asia of JLL Hotels & Hospitality Group. JLL is the appointed adviser for this transaction.
Andaz Singapore is a 342-room hotel at the mixed-use Duo development (Picture: M+S)
The record price is a testament to the quality of the hotel and reflects its potential for growth alongside the evolution of the Bugis district into a vibrant extension of the CBD, says M+S CEO Kemmy Tan. She adds that the transaction will “allow us to maximise returns to our shareholders, while handing over the reins to a very established and exciting developer in Hoi Hup to take the asset forward”.
Wong Swee Chun, chairman of Hoi Hup Realty, says: “We are attracted to the rarity of this high-quality luxury hotel offering as well as its historic significance [as] one of the landmark projects by M+S. We are especially excited by the strategic location of the hotel, with Andaz Singapore occupying a key node in the transformative Beach Road and Ophir-Rochor Corridor.”
“Andaz is the second major hotel transaction in Singapore within the past one month and follows the sale of Oakwood Premier OUE for $289 million to a joint venture between AMTD Group and Far East Consortium in a sale brokered by JLL,” says Batchelor. Along with other transactions in the pipeline this year, the total...