Far East Hospitality Trust jumps into $443.8m JV for two Sentosa hotel projects

The hotels will have a total of 850 rooms.

Mainboard-listed hotel and serviced residence developer Far East Hospitality Trust today revealed that it has entered into a joint venture agreement with Far East Organization Centre, to participate in the development of a new $443.8m hotel project located on Sentosa.

The 850-room hotel is Far East H-Trust’s first investment in Sentosa and the Trust will hold a 30.0% stake. It is Far East H-Trust’s second investment since its listing in August 2012.

“Far East Organization has offered Far East H-REIT the opportunity to participate in the 60-year leasehold development. Integrating two distinctive hotels -Outpost Hotel Sentosa and Village Hotel Sentosa, they will collectively house 850 guest rooms,” stated the Trust.

Far East H-Trust’s investment in the 30.0% stake will be fully funded by debt and the development is expected to be completed in 2018.