CapitaLand Investment Limited, a global leader in real estate asset management, has received new capital commitments for its value-added lodging private fund CapitaLand Ascott Residence Asia Fund II. This shows the continuing interest of investors in the fund’s plan to convert underutilised properties into high-performing residential assets in Asia Pacific gateway cities.
CLARA II, along with its co-investors, has acquired a mixed-use asset valued at more than JPY30billion in Tokyo. This is CLARA II’s third asset and second in Japan. CLI will see its funds under management increase by S$470m as a result of the latest capital commitments. CLI owns about 20% of the fund, as part of an asset-light strategy to align its interests with capital partners.
Mr Kevin Goh CEO of CLI Lodging“With more than 40 years of experience in the hotel industry, and our strong foothold across Asia, We have developed a large scale and deep investment and operation expertise in that region.. Our On-the-ground teams provide strong market insights, enabling swift execution and rapid speed-to-market. Investors appreciate CLI’s experience in the living industry, as it was CLI that pioneered serviced residences throughout Asia Pacific. CLI’s increased capital commitments are a testament to its strong reputation and continued growth. Investors are interested in serviced residences. They have shown to be a resilient class of assets that is capable of delivering attractive yields.”
We are focusing our efforts on CLARA II Refurbishment and conversion are used to maximize the value of assets. The global uncertainty has also led to market disruptions in the hotel sector, which have created opportunities for value addition and repositioning. By leveraging The Ascott Limited (Ascott), CLI’s accommodation business unit. We are able, through our global sales and marketing network and trusted brand reputation, to increase the value of assets in our lodging funds. This allows us to deliver quality returns. Our serviced residences have a flex-hybrid design that caters for different lengths. This gives us an advantage. Our serviced residences are unique because they offer a flex-hybrid design that caters for different lengths.Short-stay visitors allow us to maximize revenue by capturing the upside.“, said Mr Goh.
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Mr Mak Hoe Kit Managing director, Lodging private equity funds, CLI, said: “Japan has one of the most liquid and developed real estate markets in Asia, with a large pool of capital. We leveraged our local expertise to secure this off-market investment at a competitive entry price. CLARA II’s earlier assets — lyf Shibuya Tokyo You can also find out more about the following: lyf Bugis Singapore — have been successfully repositioned and launched. lyf Shibuya Tokyo We achieved over 70% occupancy after three months. This shows our ability to turn underutilized assets into high-performing investments.”
“Through Ascott Serviced Residence Global Fund, we have built up a strong track of delivering alpha with successful divestments. lyf Ginza Tokyo You can also find out more about the following: Somerset Shinagawa Tokyo Premiums are above the target return. We see an opportunity to expand our lodging fund strategy in Europe. The demand for modern, sustainable hospitality and living assets is increasing in major gateway cities such as London, Paris and Berlin. Private capital is in a good position to meet this need,” said Mr Mak.
