Tourexpi
CLARA II and its co-investors have acquired a prime mixed-use asset in Tokyo, Japan at over JPY30 billion. This is CLARA II’s third asset and second in Japan. Based on latest capital commitments, CLI’s funds under management will also increase by approximately S$470 million as a result.
CapitaLand Investment Limited (CLI), a leading global real asset manager, has secured fresh capital commitments from new and existing institutional investors for its value-add lodging private fund, CapitaLand Ascott Residence Asia Fund II (CLARA II). This reflects the continued strong investor interest in the fund’s strategy to reposition underutilised assets into high-performing living assets in key Asia Pacific gateway cities.
CLARA II and its co-investors have acquired a prime mixed-use asset in Tokyo, Japan at over JPY30 billion. This is CLARA II’s third asset and second in Japan. Based on latest capital commitments, CLI’s funds under management will also increase by approximately S$470 million as a result. CLI holds about 20% stake in the fund as part of its asset-light strategy and to maintain strong alignment of interests with its capital partners.
Mr Kevin Goh, CEO of CLI Lodging, said: “With over 40 years of lodging experience and our strong foothold in Asia, we have built up significant scale along with deep investment and operational expertise in the region. Our on-the-ground teams bring strong market insights that enable swift execution and speed-to-market. Investors also value CLI’s expertise in the living sector, having pioneered the serviced residence concept in Asia Pacific. The additional capital commitments reinforce CLI’s reputation as a trusted steward and the continued strong investor interest in serviced residences, which have proven to be a resilient asset class with the ability to deliver attractive yields.”
“With CLARA II, we are focused on refurbishment and conversion to maximise the value of their assets. Amid the global uncertainties, market dislocations in the hospitality sector have also created more opportunities for value-add and repositioning. By leveraging CLI’s lodging business unit, The Ascott Limited’s (Ascott) trusted brand reputation as well as global sales and marketing network, we are able to enhance the value of the assets under our lodging funds and deliver high-quality returns. The flex-hybrid model of our serviced residences, which caters to different lengths of stays, gives us a unique advantage. Long-stay guests provide income stability while short-stay guests allow us to capture the upside and optimise revenue,” added Mr Goh.
Picture Credit: © Capital Land Group
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