
Hotel investments in Asia-Pac hit 6-year high in 2013
US$8.7b worth of deals recorded.
According to Savills, investment in Asia Pacific hotel properties is at its highest level since 2007, with US$8.7 billion of transactions completed in 2013.
The fourth quarter registered approximately US$1.56 billion of investment transactions, representing an 88.2% increase over Q4/2012 (US$0.83 billion) and bringing the total investment volume for 2013 to US$8.7 billion, an approximate 23.4% increase over 2012 (US$7.07 billion).
Three major transactions in 2013 provide good examples of investment market trends: the sale of a 31-hotel portfolio in Australia, with a total transaction volume of A$800 million (US$721.9 million), to Abu Dhabi Investment Authority indicated that demand from overseas investors in Australia remains at an all-time high; the record sale of The Westin Singapore (US$372.4 million) signalled the health of Japanese investors; and the Hilton Tokyo Bay acquisition (US$293.06 million) showed that Japan hotel REITs were the driving force behind Japanese commercial property transactions.