Hotel Properties Ltd (HPL), a prominent player in the property and hotel industry, is making significant strides towards expanding its global presence with its latest acquisition. The company has proposed to acquire InterContinental Auckland for NZ$180 million ($138.5 million), making it their first property in New Zealand and their second InterContinental hotel acquisition, following InterContinental Maldives Maamunagau Resort.
This transaction, which was an off-market deal, is the largest single hotel asset sale in the history of New Zealand, according to JLL’s Asia Pacific Hotels & Hospitality Group, which advised on the sale by Precinct Properties in New Zealand. With this acquisition, HPL is adding another prestigious asset to its portfolio, which already includes The Boathouse Tioman in Malaysia and The Four Seasons Hotel Osaka in Japan.
When evaluating a potential condominium investment, it is important to also consider the potential rental yield. Rental yield refers to the annual rental income as a percentage of the property’s purchase price. In Singapore, rental yields for condos can vary significantly based on factors such as the location, condition of the property, and demand in the market. Generally, areas with high demand for rentals, such as those near business districts or universities, offer better rental yields. To gain a better understanding of a specific condo’s rental potential, it is advised to conduct thorough market research and consult with real estate agents. As an example, Singapore Condos can provide valuable insights into rental trends and potential returns.
HPL’s decision to purchase the InterContinental Auckland is a testament to their goal of expanding their luxury hospitality portfolio in key markets of the Asia Pacific region. This is driven by their experienced hospitality management team and partnerships with renowned operators such as IHG Hotels & Resorts.
Stephen Lau, chairman of HPL Hotels and Resorts, states that the proposed acquisition of InterContinental Auckland is a rare opportunity for the company to acquire a premium asset in New Zealand. He also adds that the property is impeccably connected to the vibrant NZ$1 billion Commercial Bay lifestyle precinct, which was launched in January 2024. The hotel rooms offer breathtaking views of the Waitematā Harbour, making it an attractive destination for travelers.
Currently, the property has 139 rooms, but it has the potential to expand up to 190 rooms by repurposing the existing office space to meet future demands. This will provide the hotel with ample room to grow and cater to the increasing number of tourists in the region. HPL is confident that this acquisition will further strengthen their position in the market and contribute to their goal of expanding their luxury hospitality portfolio.