Ascott REIT enters U.S. real estate market
Singapore-based Ascott Residence Trust has acquired a 411-room hotel in Midtown Manhattan, marking its first U.S. purchase.
Joint venture partners Magna Hospitality Group and Greenfield Partners have sold the Element New York Times Square West hotel for $163.5 million. Eastdil Secured represented the sellers. After the acquisition, the property will continue to be operated by LG-39 Management LLC and its affiliates under the “Element” brand through a franchise by Starwood Hotels & Resorts Worldwide.
“Our first acquisition in the U.S. is a strategic step that will enable us to capitalize on the burgeoning hospitality market,” said Lim Jit Poh, Ascott Residence Trust Management Limited’s chairman, in a statement.
The U.S. economy has been growing steadily in the past few years and is forecasted to expand by 2.4 percent in 2015 and 2.5 percent in 2016. Recovery in the U.S. hospitality market has also gained momentum. Rev