BGC Group has signed an agreement with Singapore-based Hiap Hoe Ltd for the sale of the Aloft Hotel and 25 Rowe office complex in Perth, Western Australia for A$100m.
The agreement will see the hotel continue to be successfully managed and operated by Marriott International, maintaining the same team and the same high standard of service.
BGC Group director Sam Buckeridge said the Board was pleased with the result.
“The sale is a testament to the quality of the Aloft development completed by BGC Construction last year, and the Marriott team which continues to deliver a fantastic experience for guests,” Mr Buckeridge said.
“We are pleased to reach this agreement with Hiap Hoe, which will retain the fantastic Marriott-managed Aloft team. The sale will free up capital invested in this asset by the Group for re-deployment,” Mr Buckeridge said.
Hiap Hoe has a successful track record in both hotel and commercial property investments in Australia and currently owns the Marriott operated Four Points by Sheraton Melbourne along with commercial offices in Perth.
The transaction is expected to complete in Q1 2019, following the granting of the required FIRB, liquor licencing and board approvals.
The four-star Aloft Hotel in Rivervale opened last year and was placed on the market for sale in May this year.
The Hotel is part of a complex that includes a 10,600 square metre A-Grade commercial building and a 500-bay carpark.
Located at The Springs, Rivervale, on the banks of the Swan River, the Hotel is ideally located in close proximity to the Airport, Perth’s new Optus Stadium and road and rail links to the heart of the city.
The BGC Group’s other high-profile hotel property, the five-star Westin Perth, is also on the market, with the sales process progressing well.
“The current constrained supply of quality, contemporary hotel properties in Perth’s rising market continues and has seen strong interest for the Westin Hotel,” Mr Buckeridge said.