CapitaLand's Ascott secures record over 2,100 new units in China | Singapore Business Review
, Singapore

CapitaLand's Ascott secures record over 2,100 new units in China

The lodging business unit signed more than 5,600 units in China to date.

The Ascott Limited (Ascott) has secured more than 2,100 new units across 12 properties in China in the last three months, signing more than 5,600 units across 26 properties in the country to date.

It registered a 60% YoY growth in units in China, while having sealed new contracts for more than 3,700 units across 22 properties globally.

About 60% of which are from China and the rest are in various countries including Austria and Indonesia. Ascott’s apartment revenue in September 2020 performed close to 95% compared to last year. On one hand, Ascott has been maintaining a steady stream of openings as demand for extended-stay properties continues to grow.

Meanwhile, around 75% of its guests in China were domestic travellers, with Ascott’s properties in tier one cities such as Beijing, Guangzhou, Shanghai and Shenzhen having achieved an average occupancy rate of over 86%. In addition to the properties secured in China, Ascott has also signed contracts for 10 more properties and over 1,600 new units across various countries such as Austria and Indonesia.

Mr Kevin Goh, CapitaLand’s Chief Executive Officer for Lodging and Ascott’s Chief Executive Officer, said that the COVID-19 pandemic has brought the resilience and flexibility of Ascott’s business model to the fore. In 2020, we have signed more than 9,300 units in 48 properties worldwide while expanding in China at a record rate. 

Ascott is also planting new flags in markets such as Austria and Indonesia, offering their guests a wider network of Ascott properties. At the peak of the COVID-19 situation, many of Ascott’s properties worldwide remained open to provide a safe haven for their long-stay corporate guests, maintaining a robust average occupancy rate. With China being the first major economy to resume growth after the pandemic and the easing of domestic travel restrictions in the country, Ascott is seeing strong recovery at their properties in China.

These properties are set to open between 2021 and 2024. Ascott has also made its first foray into Austria with Citadines Danube City Vienna, which will open in the country’s capital in 2022.

The new addition will expand Ascott’s footprint in Europe to more than 6,500 units in 54 properties. Ascott has also further strengthened its presence in Indonesia, adding six properties in prominent cities such as Jakarta and Batam. This year, Ascott has opened 17 properties with over 2,400 units. This includes seven new properties with over 1,200 units in Changsha, Guangzhou, Shanghai and Tianjin in China.

Tan Tze Shang, Ascott’s managing director and head of business development for China, said that the 12 new properties secured in China will make inroads into three new Chinese cities, Baotou, Ningbo and Yantai, while strengthening our presence in Changchun, Guangzhou, Hangzhou, Shanghai, Shenzhen, Suzhou and Xi’an. These properties are slated to open between December 2020 and 2026.

The new additions will reinforce Ascott's position as the largest international serviced residence owner-operator in China with about 30,000 units in over 150 properties.

Since you're here...

...there are many ways you can work with us to advertise your company and connect to your customers. Our team can help you dight and create an advertising campaign, in print and digital, on this website and in print magazine.

We can also organize a real life or digital event for you and find thought leader speakers as well as industry leaders, who could be your potential partners, to join the event. We also run some awards programmes which give you an opportunity to be recognized for your achievements during the year and you can join this as a participant or a sponsor.

Let us help you drive your business forward with a good partnership!

Get Singapore Business Review in your inbox
The company has obtained a private equity fund manager status in China.
The Singapore economy expects a strong rebound but the outlook still remains uncertain.
This includes improvement in cloud and application services.
Total securities trading value rose by 12% last month.
But the Lion City is still king in the Asia Pacific region
The global number of millionaires could go over 84 million in the next five years.
Office transactions have picked up to $971.81m or 24.2% of total investment sales.
Keppel DC REIT saw the sharpest decline during Wednesday's trading, with a 0.78% drop.
Core inflation increased 0.8% year-on-year.
SGX trading activities will get a boost if the listings fall through.
The time spent upskilling during the first quarter of the year increased 47% year-on-year.
eRemit Singapore is also expanding its remittance services to a business audience.
This US$25m transaction, priced off SOFR Averages, is a significant industry milestone as the global Interbank Offered Rate (IBOR) transition gathers pace.
The sale is 53% higher than the IPO purchase price.