The Hotel Investor

Hotels & Hospitality Group
The Hotel Investor
79%
of all brokered
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across Asia Pacific were
advised by JLL in 2013
USD 2
billion
in hotel transactions
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in Asia Pacific in 2013
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Welcome to our October 2014 edition of The Hotel Investor.
I am very excited to present the latest collection of world-class mandates that our team of market leading
brokers and trusted advisors have recently won and are proud to offer on behalf of our many valued clients
across the globe.
Every day our colleagues navigate increasingly complex deals, help solve elaborate challenges and negotiate
with the toughest and smartest people on the planet – and this publication shows we have the track record to
prove it.
Delivering outstanding results to our clients is a testament to our unparalleled understanding of the
investment markets around the world and to our ability to connect the sellers with the right buyers through
our extensive investor network.
Our team continues to demonstrate how JLL’s global approach to transactions, supported by market leading
expertise, produces great results for our clients. This commitment means that we leverage our respective
skills and our global relationships to provide you with a tailored service that meets your individual needs.
I hope you enjoy the read and please look out for our next edition!
Mark Wynne Smith
Global Chief Executive Officer
JLL’s Hotels & Hospitality Group
4
Contents
Feature articles
Seychelles opens its doors
6
Sri Lanka has it all
8
The new traveller lifts backpacker segment
10
Hotel investors find treasure in the Florida Keys
12
Brazilian hotels enjoy growth in revenue per room in 2013 14
The Emerald Isle, Ireland
16
APAC19
Asia Pacific
Americas57
USA and Latin America
EMEA105
Europe, Middle East and Africa
5
Seychelles opens its doors
The fine balance between maintaining Seychelles’ prestigious
status of ‘paradise on earth’ and opening its doors to fresh
investments and partnerships.
Seychelles offers something that very few
countries offer – the opportunity to invest
or work in ‘paradise’. The islands are being
rebranded following a slow and steady move
towards greater stability. Now, poised for growth
and foreign investment, there is a push for
partnerships that will help boost Seychelles’
tourism credentials.
As Minister of Tourism and Culture for the
Seychelles, you would expect some bias, but
Alain St. Ange is unequivocal in his praise for
the islands. “Seychelles is unique because
Seychelles is the one last – and I say that often –
paradise on earth,” he says.
There are more selling points: untouched, natural
beauty away from mass tourism; 50 percent of
its land area protected natural reserve; and a
mixed population of French, African, English,
Indian and Chinese influences.
The result is a richly diverse blend of culture,
including cuisine and music. With its population
6
of 89,000 people, St. Ange says Seychelles isn’t
a tourist island but, rather, a tourist destination.
In fact, the area is dependent on its tourism.
And it’s this very thing that St. Ange has been
addressing for the last three years during his
tenure as minister. Prior to taking up the role,
he was Chief Executive Officer of the Tourism
Board, and before that the Director of Marketing
of Seychelles.
St. Ange believes “sun, swim and sand” are
important but it’s not enough. For tourism to truly
succeed, a focus on culture is a key point.
The essence of the Seychelles’ culture is clear:
all are welcome. But St. Ange claims more
elements in the region’s favour.
Seychelles would be considered by many a
luxury destination, strictly for the very wealthy,
but St. Ange is quick to counter this label.
“Yes, we have resorts where the best of the
world comes here. Every famous personality, be
it in the filming industry, be it in royalties, be it in
superstars – they all descend on Seychelles,” he
explains.
“We have what we call the ‘homegrown hotels’,
for people on a budget. Everybody has the right
to enjoy Seychelles.”
The luxury segment is not to be disregarded,
however. St. Ange acknowledges its importance
– attracting the “high yield tourists” is a
continuing development.
“For this to be developed further we need to
encourage airlines to keep coming here. But
for airlines to come, to bring these first-class
passengers, we need also to fill up the tail of
the plane, which are the two- and three-star
properties. So it is a whole sum approach to
tourism that we are doing.”
With great change and development, however,
comes cost – both financial and environmental.
St. Ange argues it’s a “catch-22”. It’s essential
to preserve Seychelles’ natural beauty, it’s
very drawcard, ensuring “developments do not
destroy what makes us what we are”.
“There’s a fine line between development being
controlled, but at the same time that it keeps on
developing, because we still need direct foreign
investment to keep coming into the country. We
need to ensure that the airlines work with us.
And airlines work with us – because we are far,
we must not also be exploiting our guests. So
that’s a challenge in itself.”
Another important facet to the development
of Seychelles as a tourist destination is the
separation of government and industry.
“We moved government from being the one
managing the industry, to becoming the
facilitator. And we’ve allowed the industry to, to
move themselves.”
Seychelles has a tourism board in place, but it’s
under the charge of the private sector, which
recommends who, for example, is employed as
Director of Marketing.
“We’ve worked hard into giving ownership of our
industry to the private sector, who are the ones
that are in the fore front and the ones that feel
the pain faster when there is a downward trend,”
says St. Ange.
“We turned it on its head. The President of
the Republic made one statement that said
Seychelles must claim back its industry. And for
Seychelles to claim back its industry, we need to
bring in our people, to get them involved, to get
them to feel that they are part and parcel of it,
and not just workers. Because otherwise you get
this feeling that happens often where there is a
‘them and us’ approach. The ‘them’ being foreign
investors.”
It’s an extraordinary change from how Seychelles
operated previously – a heavy bureaucratic
process; financial impediments when a lot
of foreign, direct investments were blocked.
Seychelles opened the doors to its smaller
operators – telling “everybody who was running
an illegal small hotel to come and register it and
bypass the bureaucratic nightmare”.
On the investment front, there are hotels – lots
are being built – but also supporting industries,
be it the floating restaurant, an aquarium or a
bird park. Domestic investment is very limited,
hence the focus on partnership – local and
international.
“But to make the region grow, we have to ensure
that we are stable. Today we are stable, we’re
working with our partner, like Africa. And now
I’m just back from India last week and with India
we’ve now opened these two sides of Seychelles
– the Asia side and the Africa side. And we’re
working as a region, to ensure that we are
paving the way to make our region a solid region,
ready to welcome a new burst of investment.”
7
Sri Lanka has it all
Sri Lanka continues to witness tremendous growth.
8
Falling like a tear from India’s flank, Sri Lanka’s
otherworld beauty has moved many visitors
down the centuries. Known to Arab traders as
Serendib – fitting source material for the word
‘serendipity’ – and British colonists as Ceylon,
the island nation, with its tropical bounty of
paradise beaches, jungle clad mountains and
tumbling waterfalls, is as visually stunning as any
on earth.
“We feel very bullish about Sri Lanka,” says
Dilip Rajakarier, Chief Executive Officer of the
Bangkok-based Minor Hotel Group, which has
the Anantara and AVANI brands as part of its
portfolio. “We entered the country when the
civil war was still raging so we took a long term
view to which is now paying off. We launched 2
AVANI properties over the last few years and our
pipeline is strong”.
The country is now at peace after a protracted
civil war that ended in 2009 and the government
headed by President Mahinda Rajapaksa is
making sustained and tangible efforts to improve
transport and airport infrastructure. Given the
enticing nature of the product, it is not difficult
to see why investors and developers regard Sri
Lanka as a potential heavyweight destination for
luxury tourism in Asia.
The debut of the luxury Anantara brand in Sri
Lanka is due in the third quarter of 2015 with the
Anantara Tangalle Resort slated to open on the
country’s south coast. The Anantara Kalutara,
adjacent to the existing AVANI Kalutara Resort,
also on the south west coast of Sri Lanka, is also
scheduled to commence operations at the same
time.
“I always compare Sri Lanka with Thailand,”
continues Rajakarier. “They have similar
attributes in terms of landscapes – spectacular
mountains with cooler weather and classic
tropical beaches – plus there is a rich Buddhist
culture and friendly people. Also, everyone who
visits Sri Lanka loves it.”
Commenting on the untapped potential of a
country that is only now experiencing sustained
peace Rajakarier adds: “While countries like
Thailand advanced over the last 20 or 30 years,
Sri Lanka stood still. There are many factors for
this, the civil war not the least of them. There’s a
lot of scope for tourism here, and we are seeing
more big brands invest to drive up the standard
of the property inventory.”
The roll call of international hospitality names
targeting Sri Lanka is certainly impressive.
Sheraton, Hyatt and Moevenpick have all
announced hotel projects in the capital,
Colombo, while other big hotel firms with their
sights set on the country include Shangri-La and
Marriott. The addition of these major players
will complement an existing hotel sector that
has been burnished by the presence of several
acclaimed independent boutique hotels as well
the award-winning Amangalla and Amanwella
run by the Aman Resorts group.
Peter Henley, CEO of Onyx Hospitality, a
Thailand-based hotel group, is another who
is hugely optimistic about the prospects for
Sri Lanka. Onyx debuted its OZO brand in
Colombo in 2014 with plans to open a further
two properties in Sri Lanka’s second city Kandy
and the historic town of Galle in the south of the
country over the coming two years.
Enthusing about his company’s entry into the
market, Henley predicts a productive return for
investors in Sri Lanka. “In many ways the country
has it all,” he comments. “It has all the attributes
of South East Asia, but it is more convenient for
guests from Europe, India and the Middle East.
Infrastructure has been an issue in the past, but
the government has taken steps to bring up the
standards.”
Sri Lanka now has three international airports,
Bandaranaike and Ratmalana near Colombo
and the Mattala Rajapaksa Airport in the
southern hub of Hambantota. Meanwhile, new
highways such as the Colombo – Katunatyake
Expressway, a fast airport link between the
capital and Bandaranaike Airport that opened
end 2013, have cut journey times significantly.
Infrastructural issues remain. Sri Lanka’s east
and southeast coast is widely held to have the
best beaches in the country, but experts say it
will be another few years before it is attractive to
investors. “It needs one major player to go in and
lead the way,” confides Rajakarier. Meanwhile,
rebuilding and road construction is on going in
the north and northeast of the country, the areas
worst affected by the civil war.
Despite some challenges, the tourism sector
in Sri Lanka continues to witness tremendous
growth. Visitor figures have almost tripled over
the last ten years from around 500,000 in 2003
to 1.3 million in 2013. The Sri Lankan Tourism
Development Authority (SLTDA) has set a target
of 1.5 million tourists in 2014, and a long-term
target of 2.5 million annual arrivals in 2016,
which amounts to a compounded annual growth
of over 25% year on year. While Sri Lanka
earlier depended heavily on European tourist
traffic, there has been a recent increase in tourist
inflow from the Asia Pacific region, particularly
from India and Mainland China. Many visitors,
meanwhile, are using Sri Lanka as part of a
twin centre holiday due to its proximity to the
Maldives.
“It will continue to evolve as a tourist destination
I have no doubt,” concludes Henley. “The
infrastructure and hotel inventory is improving
all the time while the destination itself offers
fantastic beaches, vibrant cities and plentiful
wildlife and nature.”
9
The new traveller lifts
backpacker segment
With strong growth in recent years, and a shift in market
offerings, the backpacker segment in Australia is not showing
any signs of slowing down.
In its assessment of Tourism Research
Australia’s National and International Visitor
Surveys, JLL reported that, over the past two
years, the total number of visitor nights for
backpackers has risen to a record high of 50
million visitor nights.
The segment’s robustness is notable, but
also interesting are the market dynamic
shifts contributing to its strength. Not only are
backpackers increasingly staying in hostels
because they are here for work – not play – but
the geographic make-up of backpackers is also
changing, with a greater number of backpackers
arriving from Asia.
“When we look back at it historically, it’s very
much been the domain of the UK and the
European travellers, and that’s still the case. But
Asian travellers now make up about a third or
so, or a quarter of total visitor nights,” says Peter
Harper, Senior Vice President – Investment
Sales, JLLs’ Hotels & Hospitality Group.
Harper believes we’re going to see a much larger
proportion of Asian travellers in the long term,
particularly as more Asians come to Australia to
study.
10
“That’s a very big reason,” says Harper. “I think
there is a very large migration of Asian families
to Australia, and so … moving forward there will
be a lot of travellers coming to visit family as part
of that travel.”
And while Harper also sees a more inquisitive
and explorative type of traveller coming out of
Asia, there are cultural differences amongst
backpackers.
“The UK backpacker, once upon a time, only
wanted to come here for the party. And that is
certainly changing, just by virtue of the fact that
they’re coming here to work or they’re coming
here for more of an experience,” says Harper.
“And for the Asian backpacker, it’s all about the
experience for them. So it’s about giving them
access to those demand generators that satisfy
that thirst for the experiential side of travel.”
Suitable for all ages
Campbell Shepherd, CEO of Base Backpackers,
which manages and owns 14 backpacker hostels
throughout Australia and New Zealand, agrees
that the experiential component remains intact,
but he points to other changes in the backpacker
landscape – in particular, that the typical
backpacker can’t be typecast anymore according
to age group.
“Typically, about three per cent of our traffic is
older than 50. They tend to be 60-plus. And
they’re retired, often single, females or two
females travelling together ... and, again, they’re
not after a holiday, they want to extend their
travel experience by staying cheap and doing the
stuff that’s outdoors.”
Meanwhile, general standards have improved, as
well as the service offering. Base Backpackers
offers what Shepherd calls “an employment
hand-holding service” for patrons, in addition
to the usual accommodation and bar offerings.
The program has been running in New Zealand
for around 10 years, and in Australia for about a
year and a half.
“You’re always looking for new opportunities
and new ways to stimulate demand. It’s another
initiative to attract a different segment of the
market I wasn’t currently getting,” Shepherd
explains.
“So it’s international travellers coming, getting a
Working Holiday Visa online before they arrive
and then purchasing our product, which is really
to enable them to get work ready and then
hopefully get employment.”
Harper similarly acknowledges the shift from
adventure seeker backpacker to worker/student
– the days of the dingy backpackers that tailor
to people seeking a cheap bed in a popular part
of town so they can go out and party every night
are on the way out.
“I don’t think they’ll exist anymore,” Harper says.
“The hostels that will continue to prosper and
grow are the ones that really tick the boxes for
the new wave of backpacker in Australia. It’s
got to be in a safe location, it’s got to be able to
accommodate the fact that a lot of these people
are working. So they want clean facilities that
facilitate a longer stay … more almost providing
that budget hotel accommodation, as opposed to
backpacking accommodation.”
Upmarket offering
Cue the rise of the “flashpacker” – an upscale
backpacker hostel that provides very good
quality rooms, with potentially a broad mix of
room types, some with ensuites.
There’s an increasing demand for it, according
to Shepherd, who says events like the GFC
forced people to look for alternatives to the more
expensive hotel. However, not at the cost of
overall quality, which fuelled demand for better
hostel offerings.
“In saying that, we’ve got a lot of hotels in some
of the markets I operate in where some of the
hotel rooms are cheaper than what I offer. But
my rooms are probably equal, if not better,
standard. Moreover, it is the social aspect of
a hostel which is another key attractor for the
youth tourism segment. ”
that will change,” says Harper, who adds
that – particularly at the higher-end of the
accommodation market – there are some
groups in Asia forecasting on where Chinese will
travel. This may lead to asset acquisition in that
particular market, in order to get in at the start of
the “up phase”.
Accommodation innovation
Harper says an increasingly professional
approach to product offering from certain
operators has had a positive impact on the
segment. And it’s a trend he anticipates will
only continue, though there are challenges
for investors – namely, finding suitable assets
and making the property a commercially viable
operation.
“They want to capitalise on that and look to
sell, or be in a position where they are able to
control much more of the market from a demand
perspective.”
“New development of standard hotels is still
quite difficult to make feasible, and that’s no
different for backpacker hostels,” notes Harper.
“So the challenge would really be getting that
right market mix so that you can extract the full
dollar out of these travellers but still make that
development feasible.”
Of the transactions JLL has seen across the
major markets, many backpackers hostels have
been sold for redevelopment, because more
often than not, they occupied good locations in
inner-city suburbs.
“It’s always been a lot of local owner-operators,
some of your private equity firms that get
into that style of investment. I don’t think
Harper suggests that, moving forward, many
of the traditional backpacker assets may lack
infrastructure and good locations to cater to the
growing needs.
“And for new players, or people who want to
identify a gap in the market, it’s purely going to
be finding a development that works. Because
the highest and best use of most suitable assets
or sites is going to be an alternative use. So
it’s being able to get that for the right price and
then converting it and undertaking what works
is required to have a product that’s suitable to
tomorrow’s market.”
Shepherd says the challenge for investors is
finding a property that is easily converted.
“Finding something that lends itself to conversion
– the right floor-plate, the ability to maximise the
use of the floor-plate, location; people want to be
in the centre of wherever it is they’re going. And
then making that affordable for an operator.”
11
Hotel investors
find treasure in the
Florida Keys
Capital pours in as
surging tourism, limited
supply fuel booming
returns
12
The hottest hotel market in America may be at
the lowest point on the map. As tourists flock
to the Florida Keys, home to the southernmost
geography in the United States, real estate
investors are following, in search of a piece of
the booming island action.
“The thriving Keys are delivering yields more
commonly associated with much larger top-tier
markets, like New York; investors, including big
institutional investors, are taking notice,” Rumpel
says.
With the volume of tourist visits climbing by six
percent annually — there are an anticipated 2.9
million visitors on the way this year — the Keys
have taken their place among the best-performing
tourism markets in the country. Hotels in the island
chain have seen their revenue per available room
(RevPAR) returns jump 15 percent in 2013 to
USD218, nearly 20 percent stronger than Miami’s
USD183. Through June of this year, the Keys’
RevPAR climbed even further to USD234.38.
According to Gregory Rumpel, Managing Director
of JLL’s Hotels & Hospitality Group, this isn’t a
surprise.
Florida Keys to regularly
outperform other markets
Consistent, robust demand enables the Florida
Keys to regularly outperform other markets. For
example, during the downturn, the Keys proved
their strength and resilience by recording only
a nominal decline in RevPAR at 6.3 percent
whereas nationally the average reached a 17.4
percent decline.
So it’s not surprising that hotel investors are
pouring into the islands like Jimmy Buffett chasing
margaritas. Twenty-three properties, representing
27 percent of the market’s inventory, have changed
hands since 2011. That produced USD853 million
in sales volume, or roughly USD375,000 per key
on average.
Real-estate investment trusts (REITS) have been
active buyers, grabbing up Pier House, Hyatt
Key West Resort & Spa, Hawks Cay Resort and
Southernmost on the Beach since May 2013.
This past May, Northwood Investors, LLC sold the
148-key Parrot Key Resort to Hersha Hospitality
Trust for USD100 million, or USD675,700 per key.
Three months before that, the Carlyle Group bought
the 79-unit Hampton Inn & Suites Islamorada.
Part of what makes the Florida Keys such a
draw to investors is its inherent scarcity of
land. The Keys, often referred to as America’s
Caribbean, consists of a 126-mile long chain
of approximately 1,700 islands. And while this
provides plenty of room for beach blankets, the
islands are tiny, with only 137.3 square miles
of land area. The shortage of land, combined
with a highly restrictive rate of growth ordinance
(ROGO), have created a market with high
barriers to entry for investors and developers
alike.
Singh’s firm is currently developing a 96-room
hotel on a vacant site in Key West. The site is
a rare gem, centrally located within the heart of
the Old Town area, three blocks from the wellknown Duval Street and adjacent to the Historic
Seaport.
Shortage of land, plenty of
opportunity
While land in the Keys may be limited, financing
is not: debt capital is at its highest level since
the 2008 downturn. With nowhere to build,
many investors are using that capital on
renovation projects. At the moment, four budget
hotels, totaling 500 rooms, are undergoing full
renovations and are set to reopen as freshly
branded select service hotels in 2015.
“The restriction on increasing hotel supply,
lack of large undeveloped waterfront parcels,
or even parcels that can be redeveloped, plus
the complexity of construction and building
down here make it difficult to pull all the pieces
together,” says Pritam Singh, founder and
president of The Singh Company, the islands’
largest real estate developer. “We have pretty
much reached build-out on the Keys.”
The upgrades should allow those properties to
raise room rates — and have a ripple effect on
the Keys’ hotel economy. “These renovations
will put pressure on other hotel owners and
operators to update their properties in order
to maintain their market share,” says Carolina
Lacerda, Vice President for JLL. “Ultimately this
will drive even higher RevPAR rates for the entire
region.”
That should keep the Florida Keys’ hotel market
booming for a long time to come. “A location that
is constrained in its growth but not in its demand
is an investor’s dream – and it makes for a
terrific market,” says Singh.
13
Brazilian hotels enjoy growth
in revenue per room in 2013
RevPAR, the main profitability index for hotels, grew for a
ninth consecutive year, according to JLL study
14
It’s not just sporting events that are turning
all eyes on Brazil. The presidential elections
and the news of slow economic growth leave
uncertainties for hotel performance in 2014.
However, early indications show that the World
Cup had a positive impact in the 12 host cities,
causing the first half of 2014 to end with a
positive growth trend and setting the stage for
second half growth.
“The promotional effects of the World Cup,
coupled with the devaluation of the Brazilian
Real against the U.S. Dollar, create a positive
outlook for the sector,” said Ricardo Mader,
Executive Vice President of JLL’s Hotels &
Hospitality Group in South America. “Prospects
are for growth in foreign tourism with the country
enjoying an enhanced global image as a major
tourist destination within the global market.”
The average daily room rate for urban hotels
in Brazil was R$259.3 in 2013, with 65.9
percent occupancy. These numbers produced
revenue per available room (RevPAR) growth
of 6.7 percent over 2012; making 2013 the
ninth consecutive year that hotels have posted
RevPAR growth. Nevertheless, the figures were
up slightly less than expected through the end of
May 2014 leaving hospitality sector analysts and
professionals unclear on what to expect as the
year closes out.
“However,” Mader cautioned, “If hotels are to
achieve positive bottom line performance for the
full year compared to 2013, they must continue
their efforts to maximize weekday revenues and
intensify actions to reduce costs.”
Hotels pushing hard to maximize revenue
According to JLL’s “Lodging Industry in Numbers
Brazil 2014” study, higher operating costs, mainly
for labour and food and beverage, did not affect
hotels’ gross operating profits, which grew by
6.2 percent in 2013 compared to the previous
year. The study, which surveyed operators of
450 hotels, resorts and fully serviced apartments
concerning their 2013 performance, found
that operators were able to decrease costs
by focusing on technology and operational
efficiencies thereby decreasing utilities.
As a result, the gross operating profit margin in
relation to total revenue rose to 36.6 percent in
2013, one percentage point higher than in 2012.
Additionally, despite a drop in occupancy rates
through the past two years (3.6 percentage
points), hotels experienced a 23 percent
increase in the average daily room rate during
the same period.
A more structured and competitive market
The industry is also seeing an increase in supply
to the lodging market, namely in the number
of hotels affiliated to national and international
chains, which grew by approximately 12 percent
in 2013 to reach 30.7 percent of total available
rooms in the country. Key drivers were the
opening of new hotels and growth in portfolios
affiliated with Brazilian hotel brands. This
growth in branded stock shows that the market
is becoming more established, structured and
competitive.
Average annual occupancy in 2013 was 65.9
percent, with Brazilians accounting for 83.7
percent of guests in the country’s urban hotels.
The main segments of hotel demand in Brazil
continue to be business (66.7 percent), leisure
(18.4 percent) and event groups (9 percent).
“Our country became a great showcase after the
World Cup by demonstrating its organizational
skills and the exemplary way it receives
domestic and foreign tourists,” said Roberto
Rotter President of the Fórum de Operadores
Hoteleiros do Brasil (FOHB). “Based on the
results of the research, our challenge is to
maintain good occupancy rates through the rest
of 2014.”
The FOHB has been working to hold several
meetings with the Federal Government to seek
greater efforts in the national and international
promotion of Brazilian destinations. “At these
meetings, we have also suggested public-private
partnerships to obtain the necessary incentives
for growing the Brazilian hotel industry,” Rotter
continued. “For example, the nationwide supply
of rooms in chains that are members of the
FOHB will grow by 23 percent through 2016,
representing an increase of more than 30,000
new rooms and about 150 new hotels.”
The number of foreign tourists visiting Brazil
during the World Cup exceeded forecasts to
reach approximately one million. “The 2014
World Cup is already being remembered as the
‘Cup of Cups’ and hopefully the organization of
the event will serve to motivate governments and
members of the Brazilian Olympic Committee
in the 2016 Rio Olympics,” said Manuela
Gorni, Senior Vice President of JLL’s Hotels &
Hospitality Group in Brazil.
JLL’s “Lodging Industry in Numbers Brazil” has
been conducted annually for 21 years, the last
four of which have been in partnership FOHB.
The survey results and the multi-year partnership
between JLL and FOHB provide an essential
mapping of the tourism and hotel segment in
Brazil and play a major role in helping attract
new local and foreign investors. In addition to
being an important reference tool for hotels, the
study encourages entrepreneurs and provides
relevant numbers for the whole sector.
15
The hotel investment market in Ireland has
traditionally been dominated by domestic players
and due to the deterioration in the hotel market
between 2007 and 2010, international investors
had shown little interest in getting a foothold into
Ireland’s hotel property market. However, with hotel
performance rebounding rapidly since 2010, and
with National Asset Management Agency (NAMA)
and other financial institutions speeding up hotel
asset disposals, the hotel property market in Ireland
is now attracting a new breed of investor including
leading overseas private equity firms, cash rich
hotel operators and high net worth individuals
(HNWI’s), particularly from North America and Asia.
Tourism is a major industry in Ireland, generating
considerable value in terms of exports,
employment and tax revenues and contributes
over EUR5 billion annually to the Irish economy. In
2013, tourist arrivals exceeded 16.1 million, a 19
percent uplift compared to the prior year. Recent
tourism trends have highlighted a strong increase
in international visitation levels (particularly from
North America) and domestic tourism stabilising.
Over two thirds of all international tourists choose
16
to visit Dublin, while the South-West is Ireland’s
second most visited region.
Restoring Ireland’s
reputation as a world-class
tourism destination
Many industry leaders consider that the Gathering
Ireland 2013 initiative contributed to an increase
in tourism throughout the year, helping to restore
Ireland’s reputation as a world-class tourism
destination. Preliminary results suggest that the
project delivered an estimated additional 250,000
to 275,000 tourism arrivals in 2013. Businesses
also continued to benefit from the retention of a
reduced 9 percent VAT rate for the Irish tourism
sector – which was first introduced in 2011 –
which many hoteliers have cited as a key driver in
improved trading performance in recent years.
While the oversupply of hotel rooms in Ireland
has been well publicised, the absence of any
meaningful hotel developments for some time
has created an environment where hoteliers
have been able to drive average rate growth,
primarily concentrated in Dublin. Only four new
developments have opened across the Emerald
Isle in the last two years including the 165-room
Spencer Hotel and 187-room Marker Hotel,
both in Dublin. Despite this, there has been an
increase in international brand affiliation. As new
owners have invested in hotels, they have sought
to capitalise on the upside potential associated
with international brands, primarily via franchise
agreements. The EUR17 million refurbishment of
the former Burlington Hotel into a DoubleTree by
Hilton in 2013 is a prime example.
The recovery of hotel trading performance in
Ireland can be best described as a ‘Ripple Effect’.
Whilst trading performance in Dublin city centre
posted the highest RevPAR growth from 2010
to 2013, the Greater Dublin area saw RevPAR
rise 12 percent H1 2014 YTD, outpacing the city
centre. This ripple phenomenon is anticipated
to continue impacting the Irish hotel market
throughout the remainder of 2014. Dublin city
centre, which already achieves a high occupancy,
The Emerald Isle, Ireland
The hotel property market in Ireland is now attracting
a new breed of investors
is anticipated to see hoteliers pushing average
rates to boost performance. Regional Ireland has
also seen strong growth during the first half of
2014 with RevPAR up 14.1 percent according to
STR Global.
We estimate that approximately EUR300 million
of Irish hotels transacted in the open market in
2013, a 51 percent increase on 2012. Overall
liquidity has improved significantly over the last
two years, particularly for good quality, well
located assets located in cities such as Dublin,
Cork and Galway. Liquidity has also returned to
the Irish resort market, where a number of high
quality regional hotels have changed hands within
the last 18 months. Finally, transaction activity
has increased at the lower end of the market (sub
EUR5 million), which remains more focused on
domestic Irish hotel investors and operators, albeit
not exclusively.
Liquidity has returned to the
Irish resort market
Transaction activity reached over EUR200
million in the first half of 2014, with investors
from the United Kingdom, the United States
and even South Africa completing acquisitions
across Ireland. Over 71 percent of sales were
receivership deals where assets were sold by
receivers on behalf of banks. The most notable
deal during H1 2014 was the purchase of the
Portmarnock Hotel & Golf Links by Kennedy
Wilson for a reported EUR30 million.
The Irish real estate landscape has undergone
significant structural changes since its crash,
commencing in the formation of the National
Asset Management Agency (NAMA), which
today remains one of the largest lenders to the
Irish hospitality sector. Nevertheless, a market
which was once dominated by domestic hotel
ownership has now experienced a significant
increase in international investor attention, with
major European (e.g. London & Regional),
American (e.g. Patron Capital), African (e.g. Red
Carnation) and Asian investors (e.g. the Kang
family) investing in the Irish hotel market.
We expect these new sources of capital to
maintain an appetite for Irish hotel stock,
while we continue to see the re-emergence of
significant amounts of domestic capital, following
examples set by investors such as Dalata Hotel
Group and iNua Hospitality, who have both
acquired Irish hotels within the past 12 months.
New sources of capital with
appetite for Irish hotels
To conclude, investment activity in Ireland will
continue to be dominated by bank and NAMA led
asset disposals and we expect to see increased
investment activity in the form of NPL (NonPerforming Loan) sales – a number of which
we expect to include substantial Irish hotel real
estate. The workout of these NPL’s should boost
hotel market liquidity in the years to come.
17
The hotel and hospitality industry is an extraordinary, beautiful
and glamorous industry – where the exceptional is everything.
18
APAC
ASIA PACIFIC
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20
Conrad Seoul
Seoul, South Korea
Occupying a commanding position within IFC
Seoul, Seoul’s renowned mixed-use integrated
commercial development, and enjoying striking
panoramic views of the Han River and the city
skyline, the 434-key property is arguably the city’s
finest and most exciting new hotel offering.
Currently operated by Hilton Worldwide under the
luxury Conrad brand, the hotel is being offered for
sale with or without the benefit of a management
agreement and represents a truly unique
investment opportunity for an investor or owneroperator to acquire a prized hotel asset in one of
Asia’s most tightly-held investment markets.
• One of Seoul’s newest hotel icons, enjoying an enviable location along the “Korean Wall Street” in
one of the region’s leading financial hubs
• Offering convenient access to two subway lines and a bus terminal, the property is the closest
luxury city hotel to both Incheon and Gimpo International Airports
• Key growth market, with a record-high 10.5 million foreign visitors in 2013, a 27% increase over
2012
• Operated by Hilton Worldwide under a long term HMA or alternatively available with vacant
possession
FOR SALE
Mike Batchelor
[email protected]
Scott Hetherington
[email protected]
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22
Four Seasons Langkawi
Langkawi, Malaysia
Enjoying a spectacular setting on the tropical
paradise island of Langkawi and stretching 1.5
kilometres along breathtaking Tanjung Rhu beach,
the 91-key resort blends the spirit of a traditional
island village with the opulence and comfort of a
world-class hotel.
The resort is currently operating under a long-term
management agreement with Four Seasons
Hotels and Resorts, one of the world’s leading
international hospitality brands, and represents a
rare opportunity of owning a spectacular hotel with
future development potential in one of Malaysia’s
most popular and sought-after resort markets.
• Prominent location along scenic Andaman Sea coast, steps away from the pristine Tanjung Rhu
beach and a short drive away from Langkawi International Airport
• Designed by two world renowned architects, Bill Bensley and Lek Bunnag, and built over
approximately 273,300 square metres of beachfront land
• Commanding market position offering superior rates that are more than double the average rates of
competitors in the market
• Opportunity to undertake further resort development through the addition of luxury residences and
a new category of resort villas
FOR SALE
Scott Hetherington
[email protected]
Nihat Ercan
[email protected]
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24
Raffles Praslin Seychelles
Praslin Island, Seychelles
Situated along the breath-taking north-western
coast of the Praslin Island, approximately 40
kilometres from the main island of Mahé, the
property is located at the footsteps of Seychelles’
natural treasures and nearby a UNESCO World
Heritage Site, The Vallée de Mai. Enjoying an
unrivalled vantage point facing the turquoise
Indian Ocean, the resort comprises 74 wellappointed villas and 12 luxury villa suites,
supported by a range of world-class facilities.
• Award-winning luxurious hideaway, offering 86 breathtaking villas, each featuring a private plunge
pool and expansive outdoor pavilions
• Known as the “Galapagos of the Indian Ocean”, Seychelles is arguably the most diverse of the
Indian Ocean islands
• Operated by a well-renowned, luxury international hotel company, Raffles Hotels & Resorts, under
a long-term management agreement
• Immediate value-add opportunity for the incoming investor to develop nine additional residences or
guest villas on adjacent land
In addition to resort villas and villa suites, the
property offers five standalone residences that
have been built and designed to be sold with
the benefit of a rental pool scheme. The resort
premises include a 85,000-square metre land
bank, with permits in place to develop up to nine
additional Raffles-branded three, four, and fivebedroom residences. The incoming investor will
have the option to either monetise the standalone
residences or to include them as resort inventory.
FOR SALE
Scott Hetherington
[email protected]
Nihat Ercan
[email protected]
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26
BIG Hotel
Singapore
Opened in 2013, BIG Hotel’s innovative design
and functionality together with its prominent
location in the heart of Singapore’s thriving
Cultural Civic District have led to the hotel
achieving high levels of trading and profitability.
The limited service boutique hotel comprises
one all-day dining restaurant, one bar, gym,
car park and a convenience store. The hotel
offers numerous perks for round the clock
entertainment such as complimentary Wi-Fi,
in-room tablet, free movies-on-demand. The
property is offered with the benefit of a secure
lease for the first three years with an option to
extend the lease or assume vacant possession
thereafter.
• Recently completed 308-room limited service boutique hotel in thriving downtown area
• Prime location in the heart of Singapore’s Cultural Civic District, yet in close proximity to the city’s
CBD and popular tourist attractions
• Held under freehold title in one of Asia’s most sought-after investment markets
• Offered with the benefit of a secure lease for the first three years with the potential for vacant
possession thereafter
FOR SALE
Mike Batchelor
[email protected]
Paul Chakkrit
[email protected]
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Vagaru Island Resort
Vagaru Island, Maldives
Situated less than an hour seaplane flight away
to the north of Malé, Vagaru Island Resort is
conveniently located within the Shaviyani Atoll,
one of the most uncharted parts of the Maldivian
archipelago. Comprising 31 spectacular
overwater villas and 29 spacious beachfront
villas, the resort offers a unique sense of
seclusion and unparalleled luxury.
• Access to one of the world’s richest and undiscovered reef systems
• Held under direct head lease agreement with the Ministry of Tourism
• Conceptualised by award-wining designer Yabu Pushelberg
• Offered free and clear of brand and management, or with agreement to Viceroy Hotels & Resorts
Vagaru Island Resort represents an exceptional
opportunity for an investor to acquire a recently
developed luxury resort with significant growth
prospects in one of the world’s most pristine
destinations.
FOR SALE
Scott Hetherington
[email protected]
Nihat Ercan
[email protected]
29
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Konotta Island Resort
Konotta Island, Maldives
Resting within the crystal clear waters of Gaafu
Dhaalu Atoll, this resort of exceptional natural
beauty is located a scenic 20-minute speedboat
journey away from Kaadedhdhoo Airport.
• Secluded, yet seamlessly accessible location in the pristine southern part of the Maldives
archipelago
Comprising 27 beachfront villas and 21 overwater villas, the resort offers a complete sense
of privacy and intimate luxury, supported by a
range of facilities commensurate of its upscale
positioning.
• Direct head lease agreement with the Ministry of Tourism
• Nearly-complete resort with immediate branding potential
• Immediate scope for value enhancement opportunities and product offering expansion
Offered with the benefit of vacant possession
of brand and management, the Konotta Island
Resort represented an exceptional opportunity
for an owner-operator or an investor with
operator relationships to acquire a newly
developed luxury resort in one of the world’s
most pristine island destinations.
SOLD
Nihat Ercan
[email protected]
Alex Sigeda
[email protected]
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32
Hilton Hua Hin
Hua Hin, Thailand
JLL’s Hotel & Hospitality Group has successfully
advised on the sale of Hilton Hua Hin Resort
& Spa, representing the largest single hotel
transaction in Thailand to date in 2014. The
landmark property was acquired by Thailandbased Saha-Union PCL, one of the world’s
largest manufacturers of textile related products,
marking the group’s first investment into the
hospitality industry.
• Landmark property in the heart of Hua Hin town, featuring 117 metres of beach frontage
• 297 spacious guest rooms, featuring panoramic views across the Gulf of Thailand
• Extensive choice of guest rooms accommodation, complemented by a wide range of food and
beverage, function and supporting facilities
• Easily accessible from Bangkok within two and a half hours by car
Situated on a prime site of approximately
23,000 square metres and enjoying over 100
metres of beach frontage, the hotel is centrally
located in the downtown area of Hua Hin, 200
kilometres south of Bangkok and home to the
King of Thailand’s summer residence. Offering
panoramic views across the Gulf of Thailand,
the hotel features 297 guest rooms and has
enjoyed strong trading performance over the
past 10 years.
SOLD
Mike Batchelor
[email protected]
Karan Khanijou
[email protected]
33
34
Sofitel Sydney Wentworth
Sydney, Australia
The Sofitel Sydney Wentworth was Sydney’s
first international hotel and is now one of the
most recognised five-star hotels in Australia,
largely due to the boldness of its semi-circular
design and giant copper awning. Boasting an
illustrious history, the hotel has played host to
royalty, numerous celebrities and a multitude of
gala dinners, leading exhibitions, political and
corporate events.
• The freehold hotel recently underwent two substantial refurbishments
• Features 436 guest rooms & suites, two food & beverage outlets, substantial conference & meeting
facilities, a club lounge and business centre
• Coveted Sydney CBD location in the core financial precinct and convenient to the city’s major
corporate and leisure demand generators including the Opera House, Botanic Gardens, Circular
Quay, Sydney Harbour Bridge and The Rocks
The property enjoys one of the finest positions
of any hotel in the Central Business District,
being surrounded by many of the city’s premium
commercial office towers and a short walk to
Sydney’s numerous key tourist attractions.
The hotel was acquired by Frasers Centrepoint
Limited from LaSalle Investment Management for
AUD201 million.
SOLD
Craig Collins
[email protected]
Mark Durran
[email protected]
35
36
Six Senses Laamu
Olhuveli Island, Maldives
Set within Laamu Atoll to the south of the
Maldives archipelago and a short 20-minute
speedboat journey away from Kadhdhoo Airport,
Six Senses Laamu is located within one of
the few undiscovered and virtually untouched
lagoons in the tropical island paradise of the
Maldives. Comprising 70 over-water villas and 27
beachfront villas, the resort offers a unique sense
of understated barefoot luxury, supported by a
wide range of world-class amenities and facilities.
• Located in one of the most pristine and captivating Maldivian atolls
• Direct head lease agreement to the Ministry of Tourism
• Brand new resort having achieved solid gains in revenue and profitability since its opening in 2011
and presenting strong future cash flow potential
• Significant value enhancement and product diversification opportunities
Currently operated by Six Senses Hotels Resorts
Spas, Six Senses Laamu is the luxury operator’s
newest launch in the Maldives. Offered for sale
with the benefit of a management agreement, the
resort represented an exceptional opportunity for
an investor to acquire a recently built signature
Six Senses resort with significant income growth
prospects in one of the world’s most pristine ecotourism destinations.
SOLD
Scott Hetherington
[email protected]
Nihat Ercan
[email protected]
37
38
Four Seasons Hotel Sydney
Sydney, Australia
The Four Seasons Hotel Sydney is regarded
as one of the top five-star luxury hotels in
Australia. With a commanding position that
provides breathtaking views, the hotel offers an
extensive range of international quality guest
accommodation and facilities that consistently
attract the most desired high yielding market
segments. Over the last two years the hotel has
been the recipient of a number of prestigious
accolades.
• Recently refurbished, five-star rated hotel
The hotel is set in a prominent position in the
Circular Quay precinct of the Sydney Central
Business District. Many of Sydney’s most
popular leisure destinations are within easy
access of the hotel including the Sydney
Harbour Bridge, Museum of Contemporary
Art, ‘The Rocks’, Circular Quay, Sydney Opera
House, Botanic Gardens and Pitt Street Mall.
• Health club, day spa, outdoor heated swimming pool and jacuzzi
• 531 generously sized guest rooms, of which 121 are suites. Over half of the room inventory enjoys
full or partial views of Sydney Harbour, including the Sydney Opera House, Sydney Harbour Bridge
and the Royal Botanic Gardens, whilst the other rooms overlook Darling Harbour and Sydney’s
CBD
• Four food and beverage outlets
• Substantial conference and meeting facilities
• 85 bay basement car park
SOLD
Craig Collins
[email protected]
Mark Durran
[email protected]
39
40
Jumeirah Dhevanafushi
Meradhoo Island, Maldives
Nestled amongst Maldives’ southern
archipelago within the pristine waters of
Gaafu Alifu Atoll, Jumeirah Dhevanafushi is
located a scenic 15-minute speedboat journey
from Kaadedhdhoo Airport. Comprising 19
exceptional beach villas and 16 breathtaking
over-water villas, the resort offers a unique
sense of intimate castaway luxury supported by
personalized butler services as well as a wide
range of world-class facilities and amenities.
• Situated in the pristine southern part of the Maldives archipelago
• Recently opened, award-winning, secret hideaway resort offering
• Ranks in the Top 5 resorts with highest Revenue per Available Room in the Maldives
• Offered with the benefit of long term management by Jumeirah Hotels & Resorts
• Direct head lease agreement with the Ministry of Tourism
• Immediate scope for value enhancement opportunities and product offering expansion
The resort is currently operated under a long
term management agreement with Jumeirah
Hotels & Resorts, which is among the most
luxurious and most awarded hotel brands in the
world.
SOLD
Scott Hetherington
[email protected]
Nihat Ercan
[email protected]
41
42
Grand Park Orchard Road
Singapore
Occupying an absolute prime freehold site
along Orchard Road, the property is located at
a prominent intersection along Singapore’s most
popular shopping, dining and entertainment
district. Built in 1984 and extensively refurbished
between 2009 and 2010, the property features
the Grand Park Orchard hotel with 308
luxurious guest rooms and suites, as well as a
highly prized retail podium – Knightsbridge –
comprising eight flagship retail stores.
• Well-established full-service hotel in one of Asia’s key getaway cities
• Absolute prime location in one of Singapore’s most dynamic and sought-after districts
• Strategic freehold site offering an exclusive right of ownership to a corner plot of land along one of
Asia’s most valuable and desired avenues
• Features a highly prized retail podium with direct frontage onto Orchard Road
The property represented an exceptional
opportunity for a strategic investor to acquire
a well-established hotel asset underpinned by
rental income from a diverse international tenant
mix in its retail podium.
SOLD
Mike Batchelor
[email protected]
Nihat Ercan
[email protected]
43
44
Park Hotel Clarke Quay
Singapore
The property occupies a prominent site along
the banks of the Singapore River in Clarke
Quay, one of Singapore’s most prized and
sought-after locations, and is situated within
walking distance to Central Business District,
Orchard Road and Marina Bay. Opened in 2008,
the hotel featured 336 well-appointed guest
rooms and suites, a choice of two sumptuous
food and beverage outlets, dedicated meeting
and banqueting space, as well as attractive
public areas and a range of recreational
facilities.
• Prime location in one of Singapore’s most sought after districts
• Recently constructed property, featuring a wide range of guest rooms and modern facilites
• Well performing asset with strong cash flows driven by high occupancy levels and lean operating
structure
• Rare opportunity to acquire a hotel asset in one of the most tightly-held investment markets in the
world
Operated by Park Hotel Group, the hotel was
offered for sale with the benefit of vacant
possession of brand and management, or with a
lease option to Park Hotel Group.
SOLD
Mike Batchelor
[email protected]
Scott Hetherington
[email protected]
45
46
Laguna Beach Resort
Phuket, Thailand
Occupying a prime location in the award winning
Laguna Phuket integrated resort development,
the 254-room resort enjoys direct beach
frontage in one of Asia’s most sought-after
resort markets. Arranged over approximately
83,624 square metres of lushly landscaped
grounds, the resort features an extensive range
of facilities and activities, including five dining
outlets, four conference rooms, business centre,
swimming pools, water park, and four tennis
courts.
• One of the most exclusive locations in the world-renowned Laguna Phuket development
• Extensive choice of guest room accommodation and modern facilities
• Prominent position with direct beach frontage toward Andaman Sea
• The sale represented the largest single hotel sale ever in Thailand
The resort was acquired by Hawaii-based
Outrigger Hotels and Resorts and has been
rebranded to become the group’s flagship
property in Thailand.
SOLD
Mike Batchelor
[email protected]
Scott Hetherington
[email protected]
47
48
Esplanade Hotel Fremantle
Fremantle, Australia
Rich in history dating back over 120 years and
strategically located just 20 minutes south west
of the Perth Central Business District in the
very heart of Fremantle, the award winning 4.5star Esplanade Hotel Fremantle features 300
modern guest rooms, three food & beverage
outlets, nine conference & meeting rooms and a
range of leisure facilities.
• The Esplanade Hotel Fremantle originally opened in September 1886 as Fremantle’s first hotel.
Now a relatively minor portion of the overall complex, the original two storey hotel was extended in
1903 and has subsequently undergone a number of substantial additions and alterations in 1986,
1995 and 2003
The property was sold on behalf of Camellia
Holdings Pty Ltd to leading Australian property
syndicator Primewest, for AUD88.5 million
which represents the largest hotel asset sale to
ever occur in Western Australia.
• Two heated tropical-style swimming pools, three outdoor spas, a fitness centre and sauna
• 4.5-star hotel comprising 300 well-appointed guest rooms and suites
• Three food & beverage facilities
• Two level car park comprising 172 bays
SOLD
Aaron Desange
[email protected]
Craig Collins
[email protected]
49
50
Fairmont Hotel and Raffles Suites & Residences
Manila, Philippines
Occupying a prominent corner island site along
the “Wall Street of the Philippines”, the property
is located within Makati City’s sought-after
Central Business District and enjoys spectacular
views of the city and Manila Bay. The 312-key
property is undoubtedly one of the country’s
finest offerings and features a 280-room upper
upscale Fairmont Hotel and 32 luxury Raffles
Suites, as well as additional rental income
potential from a total of 237 Raffles branded
residences.
Operated under a long-term management
agreement with Fairmont Raffles Hotels
International, one of the world’s leading
international hospitality companies, under its
world-renowned Fairmont and Raffles brands,
the property represented a rare opportunity for
the incoming investor to own two spectacular
first-class, full-service hotels as part of a single
cost-efficient operation in one of the most
rapidly evolving international business districts
in Asia.
• Unique combination of two brand new and distinct hotel products co-existing under a single building
structure with full range of facilities
• The property occupies a truly exceptional position, being situated at the epicentre of Makati’s
Central Business District
• Offered with the prized benefit of a freehold title, which represented a truly rare opportunity to enter
the tightly held real estate market of Makati
• Operated under the terms of a long-term management agreement with Fairmont Raffles Hotels
International
• Includes 237 luxury residential units branded as Raffles Residences which can be contributed
towards Raffles room inventory under short or long-term leases as part of a revenue sharing
arrangement
SOLD
Scott Hetherington
[email protected]
Nihat Ercan
[email protected]
51
52
Banyan Tree Seychelles
Seychelles
Situated on the southern tip of Mahé Island
overlooking the boulder-strewn white sands
of Intendance Bay, the 60-key all-villa Banyan
Tree Seychelles is the island’s most-established
luxury resort and enjoys an unrivalled vantage
point facing the turquoise Indian Ocean.
Boasting the Banyan Tree Resort, 17.3 hectare
Ocean Estate headland with development
approval for 47 luxury villas, beachfront and
hillside land on the similarly beautiful Takamaka
Valley and ample opportunity to expand the
resort and the residential villas, the Banyan Tree
Seychelles is a truly rare investment opportunity
in one of the world’s most pristine eco-tourism
destinations.
• Irreplaceable asset sitting on roughly 111 hectares of freehold land and enveloping the unspoiled
crystal clear waters of Intendance Bay
• The island’s most established luxury resort with approximately 700 metres of direct beach frontage
• Commanding market position with excellent growth in trading performance and one of the highest
room rates in the market
• Operated by a leading international hospitality brand, Banyan Tree Hotels & Resorts, under the
terms of a long-term management contract
SOLD
Scott Hetherington
[email protected]
Nihat Ercan
[email protected]
53
54
Shangri-La Hotel Sydney
Sydney, Australia
Opened in 1992, the Shangri-La Hotel Sydney
is superbly located in ‘The Rocks’ precinct of
the Sydney CBD and is regarded as one of
the best five-star hotels in Australia. With a
commanding position that provides breathtaking
views of the Sydney Harbour, the hotel offers
an extensive range of international quality guest
accommodation and facilities.
• five-star rated, 563-room hotel
The property features 563 guest rooms and
suites together with four food and beverage
outlets, extensive conferencing spaces, a health
club and spa, and undercover car parking. Many
of the hotel’s front-of-house areas, including
the guest rooms, enjoy stunning views of the
Sydney Harbour Bridge and Sydney Opera
House.
• Basement car parking for up to 103 vehicles
• Four food & beverage outlets
• 21 conference room options, business centre and Grand Ballroom
• Guest leisure facilities include a health club, indoor heated swimming pool & sauna and CHI, The
Spa
SOLD
Craig Collins
[email protected]
Peter Harper
[email protected]
55
We understand that each property is unique, that every deal is
different and that the business of managing exceptional assets
requires exceptional thinkers.
56
Americas
USA and
Latin America
57
58
Declan Suites San Diego
San Diego, California
JLL has been retained to offer for sale the fee simple
interest in the 264-room Declan Suites San Diego,
strategically located in the heart of the city. Situated
in the San Diego market which sees more than 33
million visitors spending over USD8 billion in San
Diego annually, the area is home to prominent demand
generators including Fortune 500 companies, San Diego
Convention Center, and numerous leisure attractions
such as PETCO Park, Balboa Park, and the historic
Gaslamp Quarter.
The San Diego market has demonstrated impressive
performance as illustrated by RevPAR CAGRs of 7%
from 2003 to 2007 and 6% from 2010 to 2013. Given a
plethora of robust corporate, group, and leisure demand
generators in the area, RevPAR growth should continue
at above inflationary levels as the hotel market grows.
Following its recent conversion from the former
Sheraton Suites at Symphony Hall in October 2013,
the institutional quality hotel is currently benefiting
from a public space renovation totaling approximately
USD4 million, featuring newly refreshed lobby, food &
beverage outlet, meeting space, and leisure amenities.
The property is being offered free-and-clear of any
management or franchise encumbrances.
• 264 well-appointed and spacious, two-room guest rooms suites in the heart of downtown San Diego
• Benefiting from 70 miles of coastline, mild climate, and premier retail and dining, San Diego is a
world-class destination among all travelers alike.
• The Deck, a newly renovated, hip and intelligently-organized social space that services as the hub
of the hotel
• Newly designed Deck 12, a full-service bar & grill offering flexible seating and serving locallyinspired menu with regional specialties and signature cocktails
• Over 5,600 square feet of versatile indoor meeting space, including the 1,809-square-foot Ovations
Ballroom
• Indoor, heated swimming pool and whirlpool
• Fitness center, business center, valet parking and self-parking, gift shop, and complimentary
wireless Internet access
FOR SALE
John Strauss
[email protected]
Samantha Fisher
[email protected]
59
60
Shorebreak Hotel
Huntington Beach, California
JLL’s Hotels & Hospitality Group is pleased to
exclusively offer for sale the beachfront, 157-room
Shorebreak Hotel, located in Huntington Beach,
California. The property occupies an irreplaceable
California coastal location along the world-renowned
Pacific Coast Highway. Situated adjacent to the
Huntington Beach pier and Main Street, the hotel
is part of The Strand commercial center, one of the
most prominent coastal mixed-use developments in
California. As part of the 97,000-square-foot complex,
the hotel benefits from strong pedestrian traffic with
popular retailers and restaurants.
Huntington Beach is a high barrier-to-entry, robust
Orange County submarket that boasts some of
the wealthiest zip codes in the nation and is easily
accessible from the massive population base of
the Greater Los Angeles and Greater San Diego
metropolitan areas. The Orange County lodging
market has demonstrated exceptional performance
illustrated by RevPAR CAGRs of 9% from 2003
through 2007 and 9% from 2010 through 2013.
RevPAR growth should continue at above inflationary
levels as the hotel market grows.
• 157 well-appointed, spacious guest rooms, including 37 suites, situated on floors two through four
of The Strand mixed-use commercial center
• The 145-seat, full-service Zimzala Restaurant & Bar, featuring traditional American cuisine and
specialty cocktails
• 8,000 square feet of flexible function space including the 3,000-square-foot Epic Ballroom
• Full-service fitness center, business center, high-speed wireless Internet access, and valet parking
• 24-hour access to 437-stall subterranean city parking garage located below the hotel
• The hotel is being offered free-and-clear of any management or franchise encumbrances
• Following its 2009 opening, RevPAR has increased at a CAGR of 15% through the 2014 forecast,
and NOI has more than doubled between 2011 and forecasted 2014 results.
FOR SALE
John Strauss
[email protected]
Tony Muscio
[email protected]
61
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Waikoloa Beach Marriott Resort & Spa
Waikoloa Village, Hawaii
JLL’s Hotels & Hospitality Group has been
retained to offer for sale the fee simple interest
in the 555-room Waikoloa Beach Marriott Resort
& Spa located along the picturesque Kohala
Coast on the Big Island of Hawaii. The resort’s
swimmable beachfront on Anaeho’omalu Bay
along the Kohala Coast creates spectacular
ocean views and an irreplaceable setting,
offering the property a competitive advantage
for leisure and incentive group business as the
area generally lacks sand beaches.
• The property is situated upon 15.7 acres of fee simple land – a rarity in the Hawaii market – within
the Waikoloa Beach Resort development, fronting the Anaeho’omalu Bay beach and ancient fish
ponds along the scenic Kohala Coast of the Big Island of Hawaii.
Following the recent economic downturn,
Hawaii achieved a 10.8% RevPAR CAGR
between 2009 and 2013, capitalizing on a strong
resurgence of leisure and group travel and
outsized growth in international travel. The Big
Island is also poised for a strong recovery with
RevPAR increasing 9.0% to USD130 in 2013,
approaching pre-recessionary peak RevPAR
levels achieved in 2007.
• The hotel has demonstrated a strong ramp-up in revenue and profitability with RevPAR increasing
9.5% in 2013 and 7.1% based on 2014 forecast. The competitive set recorded strong RevPAR gains
of 6.5% in 2012 and 14.9% in 2013, followed by 6.2% year-to-date through May 2014.
• The property is being offered subject to the internationally recognized Marriott Hotels & Resorts
brand, which will allow the resort to benefit from the brand’s state-of-the-art centralized reservation
system and leading guest loyalty program.
• Given the general lack of high-quality, branded oceanfront timeshare product on the Big Island, an
opportunity exists for new ownership to explore converting 246 guest rooms in the south tower and
20 guest rooms in the Cabana building to partial or full timeshare use.
• This is an exceptional opportunity for investors to purchase the fee simple interest in a full-service,
beachfront resort located in a preeminent leisure destination.
FOR SALE
John Strauss
[email protected]
Tony Muscio
[email protected]
63
64
Hotel Palomar Los Angeles - Westwood
Los Angeles, California
JLL is pleased to exclusively offer for sale the longterm leasehold interest in the 264-room hotel Palomar
Los Angeles – Westwood located along Wilshire
Boulevard in the heart of Los Angeles’ prominent
and upscale Westwood neighborhood. This address
places the property within a 20-minute drive of
world-renowned demand generators including Rodeo
Drive in Beverly Hills, the Santa Monica Pier, and the
Hollywood Walk of Fame, among others. Additionally,
the hotel is proximate to substantial concentrations
of office space and educational and cultural demand
generators.
The property was comprehensively renovated
and repositioned as the Hotel Palomar in 2008,
with costs totaling approximately USD40 million,
or almost USD154,000 per room, spent between
2006 and 2009. The hotel represents a well-built,
high-rise tower along one of Los Angeles’ best-known
boulevards and is surrounded by other Class A office
and residential towers. The Los Angeles lodging
market has demonstrated exceptional performance
illustrated by RevPAR CAGRs of 8.2% from 2003
through 2008 and 9.9% from 2010 through 2013.
• 264 well-appointed and spacious guestrooms, including 24 suites
• BLVD 16, a full-service restaurant serving breakfast, brunch, lunch, and dinner
• Over 5,000 square feet of flexible meeting space across eight meeting rooms, including the 2,100
square-foot Premiere Ballroom
• Outdoor pool, 24-hour fitness center, business center, and hosted wine hour
• Personalized and luxurious in-room spa services
• Long-term ground lease through 2107 with rent adjustment every five years
• The hotel will benefit from Kimpton’s world class management and brand
FOR SALE
John Strauss
[email protected]
James Stockdale
[email protected]
65
66
The Curtis, a Doubletree by Hilton
Denver, Colorado
JLL has been retained to offer for sale the
condominiumized fee simple interest in the 336room The Curtis – a DoubleTree by Hilton Hotel,
strategically at the nexus of Denver’s central business
district and the booming Lower Downtown (“LoDo”)
neighborhood.
The hotel was recently renovated at a cost of USD14.7
million, or approximately USD44,000 per room. The
renovations included complete hard and soft goods
replacement and bathroom upgrades in the guest
rooms, a lobby expansion and renovation, upgraded
restaurant, modernized fitness center, and a renovated
parking garage. It also included meeting room
renovations and the construction of a new, one-of-akind 4,200-square-foot indoor/outdoor ballroom space.
As Denver’s only retro pop-culture-themed hotel, The
Curtis maintains a unique, memorable individuality
that presents the whimsical flair of a one-of-a-kind
boutique property while also benefiting from the
global strength of the Hilton marketing platform and
the renowned DoubleTree brand. From 2009 to 2013,
Denver RevPAR grew at an 8% CAGR, well outpacing
the national average of 6%.
• 336 contemporary-themed guest rooms, including two suites and 13 brand-new “hyper-themed”
rooms, contained on floors 4-16 of a mixed-use building
• Three food and beverage outlets, including The Corner Office Restaurant + Martini Bar, on-site
Starbucks (operated by the hotel via a license agreement), and Oceanaire Seafood Room (leased
to a third party)
• 27,779 square feet of newly-remodeled function space across 15 meeting rooms, including the
newly constructed 4,200-square-foot FourSquare Ballroom and adjacent outdoor patio
• 5 & Dime retail outlet, serving classic sodas, candies, travel games, and signature Curtis amenities
• Recently renovated, 326-stall parking garage, offering self- and valet parking
• 24-hour fitness center, business center, complimentary wireless Internet access and complimentary
board games for in-room use
• Following the recent renovation completed in the second quarter of 2014, hotel NOI is projected
to grow over 40% in 2014 with additional growth projected as the upgraded rooms and expanded
meeting space are absorbed into the marketplace.
FOR SALE
John Strauss
[email protected]
James Stockdale
[email protected]
67
68
Ace Hotel New York
New York, New York
JLL is pleased to offer the opportunity to acquire the
leasehold interest in the Ace Hotel New York, one of
the world’s most innovative full-service hotels. The
284-room property is positioned as the quintessential
lifestyle hotel, one that redefined the concept of
shared public spaces, impeccably curated food and
beverage and retail offerings, and created a guest
room product that is simple yet sophisticated.
Located at the corner of 29th Street and Broadway,
the Ace is recognized for being a catalyst in the
transformation of New York’s NoMad neighborhood.
With institutional-quality office space, high street
retail, some of the hottest restaurants and nightlife
venues in the city, as well as cutting-edge residential
developments, the Ace sits at the epicenter of this
continually evolving neighborhood. The area’s growth
and transformation has been further augmented by
the proliferation of high tech, media and advertising
firms that have established a foothold over the past
several years.
• Excellent physical condition
• Strong in-place cash flow
• Well-established food and beverage and retail outlets, including The Breslin, a Michelin-star rated
restaurant
• Exceptional location in the epicenter of NoMad’s Silicon Alley
• Numerous value enhancement opportunities associated with SRO units, the reconfiguration of
meeting space, among others
While a new investor has the opportunity to retain the
critically-acclaimed and highly successful Ace brand,
the hotel is being offered with brand and management
flexibility.
FOR SALE
Jeffrey Davis
[email protected]
Gilda Perez-Alvarado
[email protected]
69
70
Viceroy Anguilla Resort & Residences
Anguilla, British Virgin Islands
JLL has been retained to offer for sale a trophy
asset on the exclusive island of Anguilla with
an unmatched beachfront location and awardwinning design. Comprised of 103 condominiums
and townhomes, 32 dedicated hotel keys and 31
oceanfront villas for a total of 166 units-81% of
which enjoy ocean views. Newly constructed in
2010 the hotels unparalleled amenities include
two pristine beaches, five superlative restaurants,
three pools, an 8,800 square-foot spa, 15,600
square feet of meeting and event space, a kids
club and luxury boutique.
• Brand new trophy asset
The resort is well-positioned to benefit from a
strengthening market and favorable travel trends
in the Caribbean. The property is available
unencumbered by brand or management.
Approximately USD350 million in gross sales
residential value exist with the hotel, which
would considerably lower investor investment
basis over the next five years.
• Over USD300 million in sales gross revenue potential from residential sales
• Unparalleled amenities
• Available unencumbered by brand and management
• Ground up construction―completed in 2010 for over USD525 million
• Positive cash-flow
• Substantial cost and operational savings upon sale
• Significant value add opportunities
• Strengthening Caribbean market
FOR SALE
Gregory Rumpel
[email protected]
Zayli Rodriguez
[email protected]
71
72
Sheraton Miami Airport
and Executive Meeting Center
Miami, Florida
JLL has been retained to offer for sale the Sheraton
Miami Airport & Executive Meeting Center. The
property is the closest institutionally branded hotel to
the Miami International Airport and features 405 spacious
guest rooms, two dining options as well as a club lounge
and swimming pool.
• The closest hotel located to the Miami International Airport
The property has recently undergone a number of
capital upgrades including the complete renovation
of its bar and lounge area, in addition to the
refurbishment of the club lounge and lobby area.
• Miami International Airport ranked as one of the strongest performing airports, growing on average
of 140,000 new passenger movements per month since 2009
The hotel features a unique airport hotel setting with
the majority of its rooms overlooking the adjoining golf
course and downtown Miami. It is also the only full service
International Association of Conference Centers (IACC)certified hotel in Southern Florida with over 17,000 square
feet of purpose built meeting and event space.
• Recent renovation projects to general amenities and food and beverage outlets
• Unique position alongside the Miami River and adjoining golf course
• Miami International Airport and its surrounds has invested over USD6 billion of capital projects
since 2007 which includes the Car Rental Center and Miami Central Train Station both located
directly opposite the Sheraton
The sale of the Sheraton Miami Airport presents an
exceptional opportunity to acquire a presence in one
of the world’s strongest performing airport markets,
unencumbered by management..
FOR SALE
Gregory Rumpel
[email protected]
Andrew Dickey
[email protected]
73
74
Parcel 9
Boston, Massachussetts
Situated in the heart of Boston’s myriad demand
generators, Parcel 9 is an irreplaceable hotel
location. Located directly on the Rose Kennedy
Greenway, within blocks of the historic Faneuil
Hall/Quincy Market, the New England Aquarium
and Imax Theatre, TD Garden, Government
Center, the Financial District, and within one-half
mile of 40 million square feet of office space,
the site will attract a diverse base of highly rated
corporate and leisure business.
• Incomparable hotel development site in the heart of downtown Boston
• The downtown Boston lodging market has been extremely strong with 2013 occupancy of 80
percent, ADR of USD239, and RevPAR of USD192
• Boston has perhaps more barriers to entry for lodging supply than any other city in the country due
to severe geographic and regulatory limitations
• Located directly on the Rose Kennedy Greenway within blocks of Faneuil Hall, Quincy Market, the
New England Aquarium, TD Garden, Government Center, and the Financial DIstrict
The site also benefits from its proximity to
Logan International Airport as well as the MBTA
subway system, as it is located one block
from Haymarket Station and a short walk from
Aquarium Station, State Street Station, and
Government Center Station.
FOR SALE
Robert Webster
[email protected]
Tim Southard
[email protected]
75
76
Four Seasons Resort Scottsdale at Troon North
Scottsdale, Arizona
Four Seasons Resort Scottsdale at Troon North is
arguably the most ultra-luxury destination resort
in the Southwestern United States, featuring
210 guest rooms and suites, 36,000 square feet
of meeting space, a world-class spa, extensive
recreational facilities, and fine-dining restaurants.
• World-class luxury resort in a high-growth destination market
The main building of the resort and 25 clusters
of casita structures combine territorial-style
architecture and Four Seasons sophistication,
elevating a new level of experience for both
high-end leisure and group travel. Set on 23
acres of land, the resort is surrounded by a
dramatic backdrop of rugged terrain, mountain
vistas and city lights.
• Purposely built in a secluded desert environment with preferred access to the world-class Troon
North golf courses, the resort is also only a short drive to the North Scottsdale Road Corridor,
Arizona’s premier retail district.
• The resort sector is primed for outsized growth with the return of corporate group business,
extremely limited supply, and increased leisure demand
• Trophy asset with an exceptional amenity base
FOR SALE
Robert Webster
[email protected]
John Strauss
[email protected]
77
78
Hotel Viking
Newport, Rhode Island
JLL has been retained to offer for sale the feesimple interest in the 208-room Hotel Viking,
a historical, full-service, luxury boutique hotel
located in the heart of Newport, Rhode Island.
• Fee-Simple and Unencumbered by Brand and Management.
The hotel is located in the heart of Newport at
One Bellevue Avenue. The hotel benefits from
its central location enabling guests to walk to
all of the major attractions, restaurants, retail
shops and other tourist destinations. Newport’s
convenient and accessible location in the
Northeast, relative to the urban centers of
Boston, Providence and New York, make it an
appealing and convenient “drive to” leisure and
group destination.
• 4 and 5-story hotel featuring 14,400 square feet of meeting space, two food & beverage outlets,
award-winning spa, indoor swimming pool, fitness center, on-site chapel, and other first-class
amenities
• The property’s premier location, excellent physical product, and outstanding reputation make the
Hotel Viking an ideal opportunity for upscale and luxury brands and operators
• The property is in superb condition following a USD12.7 million (USD61,000/key) comprehensive
repositioning since 2006, including renovations to the Viking Wing Historical guest rooms in
2006/2007 and renovations to the Newport Wing guest rooms in 2010/2011
• Hotel ownership opportunities on the New England Coast are extremely limited, especially in the
historic city of Newport. This particular hotel presents an excellent opportunity for an owner to
acquire an upscale luxury boutique hotel in a highly sought-after market
• The Hotel Viking generates impressive financial performance. Continued leisure demand and
strengthening corporate group travel position the hotel well for significant cash flow growth in the
near- to intermediate-term
UNDER OFFER
Robert Webster
[email protected]
Tim Southard
[email protected]
79
80
Hyatt Regency Vancouver
Vancouver, British Columbia, Canada
The 644-room Hyatt Regency Vancouver is
located in the heart of downtown proximate
to the Port Metro Vancouver and Vancouver
Convention Centre. Vancouver is a rebounding
lodging market with increasing corporate
demand.
• Strategic and centralized city-center location
• Institutional quality, core urban asset
• Rare fee simple offering
• World-class Hyatt affiliation
• Strong diversified regional economy
• Rebounding lodging market and corporate demand
• Nearly 40,000 square feet of indoor and outdoor function space
• Food and Beverage outlets include: Mosaic Grille & Bar, Grain Tasting Bar, and Starbucks
• Other amenities include Life Luxe Medical Spa, heated, outdoor pool and whirlpool, fitness center,
business center, high-speed wireless Internet access, and valet parking
UNDER CONTRACT
Ray Ahrens
[email protected]
John Strauss
[email protected]
81
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ONE Bal Harbour
Bal Harbour (Miami Beach), Florida
ONE Bal Harbour Resort and Spa Miami is a
rare and compelling investment opportunity for a
new owner to acquire an established waterfront
luxury resort, without the risk of development
or delays. ONE features significant cash flow
upside, significant value-add attributes and
excellent, immediate brand exposure in the
premier Miami market.
The hotel facilities being offered for sale, include
a luxury spa; oceanfront restaurant, pool-side
bar and grill; plus other public hotel spaces,
such as a dramatic hotel lobby, oceanfront
swimming pool, private cabanas, 3,000 square
feet of meeting and event space and extensive
“back of house” office and service areas. Nine
hotel condominium units, including an ultraluxurious 3,500 square feet penthouse, are a
part of the sale property. The purchaser will also
acquire the exclusive right to operate the on-site
rental management program for the 124 hotel
condominium units which are located at ONE
and all hotel concessions.
• Luxury oceanfront condo-hotel
• Affluent Bal Harbour location, across from Bal Harbour Shops
• Available unencumbered by brand and management
• Low cost of entry
• Significant value add opportunities
• Sale of hotel facilities includes nine condo-units, including penthouse
• Strong Miami Beach and Bal Harbour market fundamentals
• Ability to operate robust Rental Management Program
UNDER CONTRACT
Gregory Rumpel
[email protected]
Zayli Rodriguez
[email protected]
83
84
Westin & Sheraton Fort Lauderdale
Fort Lauderdale, Florida
JLL has been retained to offer for sale the Westin
& Sheraton Beach Hotels in Ft. Lauderdale,
Florida. The offering of these two institutionally
branded hotels presents an exclusive opportunity
to acquire 919 beachfront hotel rooms in the robust
and internationally recognized Fort Lauderdale
market. Both properties feature prime beachside
locations with well-established track records since
their original opening in the 1960’s, and more
recently their re-development in 2009 and 2010.
This exceptional Fort Lauderdale portfolio is being
offered at a time in the market where both the Fort
Lauderdale-Hollywood International Airport and
Port Everglades Cruise Terminal are undergoing
major expansion projects, upscale supply has
decreased market-wide and RevPAR performance
continues to show above market growth rates.
• Offered for sale together as a portfolio or individually
• 919 beachfront hotel rooms for sale in one of America’s fastest growing lodging markets
• Westin invested USD86 million of capital works in 2009
• Sheraton invested USD40 million of capital works in 2010
• Sheraton - offered unencumbered by both brand and management. Westin - offered unencumbered
by management as a franchise conversion upon sale.
• The 2009 redevelopment of the Westin included the development of over 26,000 square feet of new
meeting facilities
UNDER CONTRACT
Gregory Rumpel
[email protected]
Andrew Dickey
[email protected]
85
86
Lost Pines Resort and Spa
Lost Pines, Texas
JLL has been retained to offer for sale the feesimple interest in the 491-room Hyatt Lost Pines
Resort & Spa, located on over 650 acres adjacent
to the Colorado River, southeast of Austin, Texas.
The 491-room resort is an outstanding physical
asset offering 62,000 square feet of indoor meeting
space in 38 meeting rooms, eight food & beverage
outlets, 18-hole championship golf course, a full
service spa, salon, and fitness center, tennis
courts, hiking, biking, and jogging paths, horseback
riding, archery & trap shooting, retail outlets,
business center, a gift shop, a water park including
an 1,000-foot lazy river, sandy beach and kids
splash pool, and other first-class amenities.
With an idyllic setting the resort is bounded by 251
acres adjacent developable land to the north and
west, the Colorado River and lowlands to the east,
and the 1,100-acre McKinney Roughs Nature Park
to the south, giving guests the feeling of seclusion
while still being proximate to Austin’s nightlife and
entertainment options.
• The property, which opened in 2006, remains in superb condition following over USD7 million of
improvements since 2012
• Located 13 miles east of Austin’s International Airport, 1.5 hours from San Antonio, 2 hours from
Houston, and 3 hours from Dallas in the heart of the “Texas Triangle,” one of the fastest growing
regions in the country
• The resort is ideally positioned to take advantage of this rapid growth and the continued increase in
corporate group travel given the limited risk of comparable new supply
• The resort benefits from its location within the greater Austin area and its many demand drivers
including the University of Texas, the Circuit of the Americas Formula 1 race, and music festivals
such as SXSW and Austin City Limits
• Resorts have been outperforming the broader hotel market due to the return of corporate group
business and growing tourist demand
UNDER AGREEMENT
Robert Webster
[email protected]
Tim Southard
[email protected]
87
88
SpringHill Suites Midtown / Fifth Avenue
New York, New York
JLL is pleased to present investors the
opportunity to acquire the fee-simple interest
in the SpringHill Suites New York Midtown
Manhattan/Fifth Avenue, a recently opened
173-suite hotel strategically located in the heart
of Midtown Manhattan. Conveniently situated
with access to over 75.4 million square-feet in
office space and numerous tourist attractions
such as Times Square, Herald Square, the
Empire State Building, and premier shopping at
Fifth and Madison Avenue, the offering presents
an attractive opportunity to acquire a newly built
property in one of the fastest-growing markets
in the U.S.
• Newly-constructed, high-quality physical product
• Only SpringHill Suites hotel in Manhattan
• Central location proximate to Manhattan’s greatest demand drivers
• Robust Midtown Manhattan lodging market
• World-class brand and management
• Highly financeable asset
SOLD
Jeffrey Davis
[email protected]
Gilda Perez-Alvarado
[email protected]
89
90
InterContinental Chicago O’Hare
Chicago, Illinois
The InterContinental Chicago O’Hare, a 556room property, is located within five minutes
from one of the world’s busiest airports,
Chicago O’Hare International Airport, and
adjacent to the heart of Rosemont’s business
and entertainment district.
Opened in 2008, the hotel is AAA Four Diamond
rated and ranks among the most luxurious in
the Chicago metropolitan area. The property
tremendously benefits from an unrivaled
guest room product in the O’Hare submarket
and optimal guest room-to-meeting space
programing including 53,000 square feet of
function space and four signature ballrooms.
• The InterContinental Chicago O’Hare features a premier location five minutes from Chicago’s
O’Hare International Airport. Although O’Hare International Airport acts as a primary demand
driver, the recent revitalization of the Rosemont submarket has supported the area’s increasing
lodging demand, including the new adjacent Fashion Outlets of Chicago and the lively nightlife at
MB Financial Park.
• Built in 2008 at a reported construction cost of approximately USD180 million, or USD324,000 per
key
• Unencumbered by management; ability to re-brand
• Signature three-meal restaurant, Fresco 21; live music venue, Montrose Room; and a chic martini
bar, Ice Bar
• Over 53,000 square feet of meeting space across 23 meeting rooms. Highly acclaimed prefunction
space acts as a modern art gallery, showcasing 100 distinct paintings, photographs and sculptures
• Multiple value enhancement opportunities
SOLD
Adam McGaughy
[email protected]
John Nugent
[email protected]
91
92
Miramonte Resort & Spa
Indian Wells, California
The Miramonte Resort & Spa is located adjacent
to the Indian Wells Golf Resort in the heart of
Coachella Valley’s famous Indian Wells resort
community in California. The 215-room property
includes 23 suites and is available free of any
encumbrances.
• Fee-simple interest
• Management and brand availability
• Renovation and reposition potential
• Rebounding hotel market
• Revitalization of the Coachella Valley
• Discount to replacement cost
• Over 22,500 square feet of indoor and outdoor function space
• Other amenities include the 12,000-square-foot The Well Spa, direct access to the Indian Wells
Golf Resort, three outdoor resort swimming pools, whirlpools, and sundeck, fitness studio, business
center, concierge services, and high-speed wireless Internet access
SOLD
John Strauss
[email protected]
Tony Muscio
[email protected]
93
94
Waikiki Wave
Honolulu-Oahu, Hawaii
The Waikiki Wave offered an exceptional
opportunity to invest in a well-maintained and
ideally located hotel in the heart of Honolulu’s
premier Waikiki beach resort and urban retail
district.
Opened in 1973, the 15-story property has
a history of strong cash flow and offers new
ownership a variety of value enhancement
opportunities. The property is in excellent
condition; in total, approximately USD36,000 per
room has been spent on the hotel since 2006.
• Excellent Waikiki Location; Located on Kuhio Avenue, one of Waikiki’s two main thoroughfares,
the property is situated adjacent to the International Market Place and one and a half blocks from
the famous Waikiki Beach. The property’s prime location is proximate to Kalakaua Avenue, Royal
Hawaiian Center, and the Hawaii Convention Center
• The property represented a unique acquisition of a well-maintained hotel located in a highly soughtafter real estate market. Benefiting from its strategic location situated midway between the United
States mainland and Asia, in 2012, Oahu welcomed nearly five million visitors, exhibiting a 15-year
visitation peak and an 11% growth over 2011 fueled by a 19% increase in international travel
• The property was offered free-and-clear of any management or franchise encumbrances,
presenting new ownership with the opportunity to secure a major brand or operate the hotel as an
independent
• New hotel supply in Oahu is extremely limited. Benefiting from the redevelopment of the
International Market Place, market supply is expected to decline in the near-term with the
planned demolition of the 357-room Miramar. In addition, the 659-room OHANA Waikiki West will
temporarily close during its major renovation which will restrict supply and further compress the
market
SOLD
John Strauss
[email protected]
Tony Muscio
[email protected]
95
96
Calistoga Ranch
Napa Valley, California
This unique offering presented investors with the
generational opportunity to acquire Calistoga
Ranch, Napa Valley’s most exclusive luxury
resort, which is consistently rated among the
top small resorts in the world by guests and
respected travel editors. Notably, Calistoga
Ranch was recently named the number one
“Best Hotel in California” and the “Top 10 Best in
USA” by U.S. News & World Report. Nestled in
a private canyon, the resort sprawls across 157
scenic acres of majestic hills dotted with ancient
oaks, a private lake and a winding stream.
• Irreplaceable resort spanning 157 acres in the heart of Napa Valley
• World-class amenity base including an on-site Cabernet Vineyard, private restaurant, awardwinning spa, outdoor pools and exclusive Napa winery program, among others
• Extremely high barrier-to-entry market with limited new development
• Excellent hotel market fundamentals driving strong increases in revenue growth and profitability
• Amidst the world-renowned Napa Valley wine region which also benefits from the booming greater
Bay Area economy
Featuring 50 intimate accommodations
comprised of expansive, multi-building lodges,
the resort presents some of the most unique
guest rooms in the United States that maximize
privacy and relaxation. In addition to its oneof-a-kind accommodations and amenities,
it maintained attractive positive cash flow
relative to its size and offered numerous value
enhancement opportunities to increase cash flow.
Sold
John Strauss
[email protected]
97
98
Bahia Mar Fort Lauderdale
Fort Lauderdale, Florida
Set on a stunning Florida beach, minutes from
downtown Fort Lauderdale, Port Everglades
and the airport, the Bahia Mar Marina & Hotel is
part of a 44-acre ocean front complex, situated
uniquely between the Intracoastal Waterway
and the Atlantic Ocean.
Minutes from the trendy retail and restaurant
district on Las Olas Boulevard, the property
boasts one of the largest marinas in the country,
hosting over 700 vessels during the annual Ft.
Lauderdale International Boat Show, the largest
in-water boat show in the world. In addition
to the two existing hotel buildings (296 keys),
tennis courts, outdoor pool, and marina facilities
(including 245 slips), the property includes
extensive development rights and 12.5 acres of
undeveloped area (currently surface parking).
• Strong financial performance
• Growing hotel performance
• World-class marina
• Real estate flexibility – development opportunity
• Upside opportunity with stable in-place cash flow
Sold
Gregory Rumpel
[email protected]
Andrew Dickey
[email protected]
99
100
Sofitel Chicago Water Tower
Chicago, Illinois
The Sofitel Chicago Water Tower is a 32-floor,
415-key hotel located in Chicago’s affluent Gold
Coast neighborhood. It is one block west of the
Magnificent Mile and in close proximity to the
city’s corporate, convention and leisure markets.
Designed by award-winning French architect
Jean-Paul Viguier, the prism-shaped building
features floor to ceiling windows and offers
striking views of Chicago’s skyline and Lake
Michigan.
• Built in 2002, the hotel has 415 guest rooms, including 32 suites
• The hotel features over 10,000 square feet of meeting space across 11 meeting rooms. The Grand
Ballroom is the property’s largest meeting room, with over 4,500 square feet of space that can
accommodate upwards of 400 people.
• The hotel’s unique architecture and first-class cuisine create an ideal setting for corporate meetings
and social gatherings.
• Other amenities include a state-of-the-art fitness center, 24-hour room service, valet parking, a
business center and dry cleaning services
• Since 2008, over USD5.9 million has been invested into the property, with the majority of the
upgrades relating to the guest rooms and food and beverage outlets.
SOLD AND FINANCED
Adam McGaughy
[email protected]
John Nugent
[email protected]
101
102
Hotel Madeline Telluride
Telluride, Colorado
A luxury ski-in ski-out property, Hotel Madeline
Telluride is located in the heart of Mountain
Village at the base of the Telluride Ski Resort
and steps from the free gondola that links
Mountain Village and the town of Telluride.
• Opened in 2009, the AAA Four Diamond and Forbes Travel Guide Four Star luxury resort is
the Telluride Ski Resort’s premier lodging facility offering a broad suite of luxury amenities and
recognized as one of the nation’s top ski resorts.
• The resort is being offered free-and-clear of any management or franchise agreements, presenting
a new owner with the opportunity to secure a recognized brand or to continue to operate the resort
as an independent.
• The 170 units include 100 hotel condominiums, 60 residential condominiums and 10 employee
condominiums.
• On site food and beverage outlets include Restaurant REV, SMAK Bar and a Starbucks Coffee
Shop
• Other amenities include The Spa at the Hotel Madeline, a fitness center, an indoor pool, hot tub and
steam room and an on-site ice skating rink, ski valet and outdoor retail plaza.
SOLD AND FINANCED
Paul Schloff
[email protected]
John Strauss
[email protected]
103
We handle amazing deals, help solve complex problems and
negotiate with the toughest people on the planet – and we have
the track record to prove it.
104
EMEA
EUROPE
MIDDLE EAST
AND
AFRICA
105
106
Radisson Blu Edinburgh
Edinburgh, United Kingdom
The Radisson Blu provides 238 well-proportioned
bedrooms plus restaurant, bar, conference rooms and
leisure facilities. The hotel is let to Rezidor hotel Edinburgh
limited with a guarantee from Rezidor hospitality. The
(heritable) freehold property is in a prime location on the
world famous royal mile. Rent is calculated as the higher
of 30% of total revenue or the base rent (indexed to 70% of
the retail price index).
The Radisson Blu is an established hotel with proven
track record, strong underlying vp value and development
potential to the rear. The (heritable) freehold property is in
a prime location on the world famous royal mile.
Occupied by way of an fri lease on a fully repairing and
insuring basis for an initial term of 25 years from 3rd
November 2003 until 31st October 2028, with a further
option to extend for 10 years until 31st December
2038. The 2013 hotel base rent was the payable rent
at £3,351,656. The base rent in 2014 is GBP3,417,218
effective from 1st January 2014. Additional rental income
is generated from an adjoining 130 bed hostel and retail
unit and total income for 2013 was GBP3,510,230. Offers
in excess of GBP59,000,000 which reflects a net initial
yield of 5.73% based on 2014 forecast total income, after
purchasers costs.
• Edinburgh is one of the best performing hotel markets across Europe
• Edinburgh benefits from numerous leisure and cultural attractions, including Murrayfield Stadium
(home of the Scottish Rugby Union and music concerts)
• The Radisson Blu hotel and associated buildings are located on the world famous royal mile (also
known as high street) within the heart of Edinburgh’s historic old town, which has been designated
a unesco world heritage site
• The property comprises a four-star, 238 bedroom hotel, together with bar, restaurant, conference
facilities and leisure centre with a131 space multi-storey car park located to the rear of the property
• In addition to the hotel, the property encompasses a retail unit located on the corner of the royal
mile and Blackfriars street and a former office building located on Blackfriars street now utilised as
a 130 bed tourist hostel
• There is also a vacant site as part of the subject property which offers considerable development
potential
FOR SALE
Kerr Young
[email protected]
Adam Wilson
[email protected]
107
108
Pullman London St Pancras
London, United Kingdom
Situated within central London, the Pullman Hotel
is at the epicentre of the most connected transport
hub in Europe, between St Pancras International,
King’s Cross, and Euston Stations. This represents
a rare opportunity to acquire newly renovated
312-key flagship hotel in one of the world’s most
attractive hotel investment markets.
• 312-room upscale hotel with restaurant, bar, tiered auditorium for 450 people, over 1,300 square
metres of meeting space, a gym and a connectivity lounge
This is the first Pullman Hotel to open in the United
Kingdom playing a key role as part of Accor’s
expansion plans in the country. A comprehensive
refurbishment which finished in September 2013
has completely remodelled the hotel in the crisp
modern style embodied by Pullman.
• Located approximately 500 metres from the new 1,000,000 square feet Google headquarters which
forms part of the 67 acre, GBP3.5 billion King’s Cross development
• The hotel benefited from a comprehensive c.GBP15 million refurbishment in 2012/13 which
launched the Pullman brand in the United Kingdom
• Upper floors enjoy expansive panoramic views of central London, a rare offering for such a market
• Impressive forthcoming demand drivers including an expanded Eurostar service, connecting
London to the Netherlands and Germany in 2015 via Deutsche Bahn services, as well as the
prospective GBP50 billion HS2 rail project which will terminate at Euston Station, some 400 metres
away
The hotel is currently operated with the benefit of
an occupational lease to Accor UK Business and
Leisure Hotels with Accor SA as the guarantor.
There are a number of exciting value add
opportunities which JLL would be delighted to
discuss with potential purchasers
UNDER OFFER
George Nicholas
[email protected]
Adam Wilson
[email protected]
109
110
Paris Marriott Hotel Champs-Elysees
Paris, France
The seller has entered into an Option
Agreement with Hong Kong-based investor Kai
Yuan Holdings granting the right to purchase
one of Paris’ finest real estate assets, the
Marriott Champs-Elysées.
This transaction represents Kai Yuan Holding’s
first hotel investment in Europe. JLL’s Hotels
& Hospitality Group acted as the transaction
advisor and sale process executioner for the
seller.
The stunning 192-room Marriott ChampsElysées is the only hotel located on the
prestigious Avenue des Champs-Elysées. The
sale represents a rare opportunity in a market
with high barriers to entry due to lack of supply
and huge demand for trophy assets.
• Exceptionally located in the heart of Paris, the property directly overlooks the Avenue des ChampsElysées, is within walking distance of the Arc de Triomphe and Eiffel Tower and offers stunning
skyline views of the City of Lights
• The 192-key luxury hotel occupies a building constructed for Louis Vuitton in 1914. Following
renovation works completed in November 2009, the property has been restored to its original
architectural design
• As the capital of the most visited country in the world, Paris has been one of Europe’s best
performing hotel markets in recent years
• A unique opportunity to acquire a freehold landmark hotel on the Champs-Elysees, the most sought
after avenue in Paris
• Managed by Marriott International, one of the most successful global hotel companies which enjoys
exceptional guest loyalty and has one of the strongest distribution systems around the world
CONTRACTS EXCHANGED
Patrick Saade
[email protected]
111
112
InterContinental Paris Le Grand
Paris, France
InterContinental Paris Le Grand is superbly
located with unequalled views of the Opéra
Garnier. Prominently situated in the heart of the
French capital, InterContinental Paris Le Grand
exemplifies French elegance.
The luxurious property comprises 470 keys,
two renowned restaurants, La Verrière - set in
an 218 square metre winter garden - and the
renowned Café de la Paix, two bars, 23 modular
meeting rooms including the listed Opéra
ballroom, the club lounge, a Spa by Algotherm
and a health club.
• Paris is amongst the most sought-after investment markets with extremely high barriers to entry
• InterContinental Paris Le Grand is superbly located with unequalled views of the Opéra Garnier
• Opened in 1862, Le Grand Hotel’s architectural beauty is a magnificent illustration of Baron
Haussmann’s accomplishments in the city
A comprehensive repositioning plan has been
prepared which could position this hotel as
the leader in its market. The most substantial
improvement involves increasing the number
of suites and refurbishing the overall product,
including F&B and meeting areas.
CONTRACTS EXCHANGED
Mark Wynne-Smith
[email protected]
Patrick Saade
[email protected]
113
114
Club Med Plantation d’Albion
Albion, Mauritius
JLL’s Hotels & Hospitality Group have been
appointed as sole and exclusive agent to offer
for sale the shares of Club Méditerranée Albion
Resorts Limited - owner of the prestigious
holiday resort Club Med Plantation d’Albion
in Mauritius. The property is being offered for
sale with the benefit of a long term fixed and
variable lease agreement with an affiliate of
Club Méditerranée SA, a company listed on
the French stock exchange who covenant as
guarantor under the lease.
• Remarkable estate
• Exceptional location
• Trusted and internationally recognised brand
• Attractive contract structure
The resort represents a rare opportunity to
invest in an internationally branded, upper
upscale beach resort in a leading tourism
destination that is underwritten by a lease to a
world renowned hotel operator. The Club Med
Plantation D’Albion commands an exceptional
location on the West coast of Mauritius and
enjoys extensive beach frontage.
IN EXCLUSIVITY
Chiheb Ben-Mahmoud
[email protected]
Amr El Nady
[email protected]
115
116
InterContinental Prague
Prague, Czech Republic
The InterContinental Hotel in the Old Town
of Prague is located on Pařížská, the most
prestigious street in Prague that is lined with art
nouveau houses and is considered to be the
most prime location in the historic city.
• 372 guest rooms
The hotel is one the best known hotels,
trading from this location for over 40 years
and has recently benefitted from extensive
external renovations and improvements. It is
operated on a management agreement by
Westmont Hospitality and a franchise to the
Intercontinental Hotels Group (IHG). The hotel
was acquired by Best Hotel Properties (a part of
J&T bank from Slovakia) in December 2013.
• Sold in December 2013 for EUR115 million (EUR309,000 per key)
• Freehold title operated by Westmont with a franchise to Intercontinental Hotels Group (IHG)
• Located in a prime position in the Old Town of Prague
Acquired
Mark Wynne Smith
[email protected]
Daniel Pugh
[email protected]
117
118
Hilton Danube Vienna
Vienna, Austria
The Hilton Vienna Danube occupies a prime
location on the shore of the Danube River in
Vienna and represents one of the longestestablished hotels in the city. As such, the hotel
strongly benefits from a recent, comprehensive
refurbishment as well as a newly negotiated
long-term lease agreement with Hilton
International. Following a competitive bidding
process, the Hilton Vienna Danube was sold to
the institutional investor Internos Real Investors
in August 2013.
• Newly agreed long-term lease contract with Hilton as internationally renowned operator and highly
credit-worthy tenant
• Long-established hotel with completely renovated product
• High level of investment security through fixed income stream
• Appealing location with a broad number of demand generators
• Flourishing hotel market with three consecutive record years in tourism demand
SOLD
Ursula Kriegl
[email protected]
Thorsten Faasch
[email protected]
119
120
Lafayette Portfolio
Portfolio, France
JLL’s Hotels & Hospitality Group was appointed
by Ivanhoé Cambridge, a Quebec-based
pension fund, as co-exclusive advisor to dispose
of non-strategic assets with the sale of four
hotels located in Paris’ central district.
The transaction closed in March 2013 and is one
of the largest portfolio transactions in France.
Despite market’s difficulties, it took the team
only one month to find the buyers.
The four Parisian hotels included in this
transaction have a total of 626 rooms with 565
square metres of meeting space. They have
been sold to Morgan Stanley Real Estate Fund
VII Global, a real estate fund managed by
Morgan Stanley, and to Paris Inn Group, a hotel
manager, investor and owner.
• Portfolio of four unique, upscale and boutique hotels totalling 626 rooms, located in Paris
• Opportunity to immediately establish a strong presence in one of the world’s most competitive
market, with limited supply as a result of high barriers to entry
• Prominent locations in Paris
• All the assets have benefited from refurbishment and renovations during the 2008-2010 period
• The entire portfolio is freehold
• Two of the hotels are franchised under Holiday Inn and Mercure brands while the two others offer
the opportunity to rebrand
SOLD
Thomas Lamson
[email protected]
Félix Balladur
[email protected]
121
122
Mandarin Oriental Paris
Paris, France
JLL’s Hotels & Hospitality Group was appointed
by the Société Foncière Lyonnaise (SFL) as
exclusive advisor to market 251 Saint Honoré
in Paris, including the ultra-luxury five star
Mandarin Oriental Paris as well as two upscale
boutiques branded Ports 1961 and DSquared2.
• Coveted and prominent luxury hotel and retail location
The 138-key property was sold for EUR290
million to the hotel operator in tenancy,
Mandarin Oriental Hotel Group, who exercised
their pre-emption right to seize full ownership of
the building.
• Unique attractive tenure with three long term guaranteed leases involving substantial upside
• Truly unique piece of real estate, located in the heart of Paris, was offered for sale on a freehold
basis, subject to long-term commercial leases
• Most recent five star property to open in Paris compliant with the latest environmental standards
The transaction closed in February 2013 and
marks one of the largest single-asset hotel
transactions in EMEA since 2010. The sale
represents an outstanding conclusion of the
joint effort between the Hotels & Hospitality
Group and the Capital Markets Retail team,
who selectively offered the opportunity to an
international audience from both the hotel and
retail worlds.
SOLD
Yves Marchal
[email protected]
Katell Bourgeois
[email protected]
123
124
Sofitel Paris Le Faubourg
Paris, France
The five-star luxury Sofitel Paris Le Faubourg is
situated at 15 rue Boissy d’Anglas in Paris – an
exceptional prime location steps away from
the Champs Elysées, rue de Faubourg SaintHonoré and Place de la Concorde.
• Highly desirable hotel investment hotspot
The property is a true reflection of celebrated
Parisian architecture with its distinguished
Haussmanian style – an important flagship for
Sofitel. The 147-room Sofitel Paris Le Faubourg
was sold to Mount Kellett Capital Management
LP in a EUR113 million (USD150 million) deal,
subject to a long term management agreement
with Accor.
• Value enhancement potential
• The ultimate core Paris freehold location
• Iconic asset enjoying world-class brand appeal
This transaction highlights the strong appeal
of high-quality assets in prime locations with
notable value add potential.
SOLD
Yves Marchal
[email protected]
Patrick Saade
[email protected]
125
126
Four Seasons Florence
Florence, Italy
The Four Seasons Florence represents an
astonishing hotel property, encased in two
historic buildings and set within Florence’s
largest private park-like gardens. Following a
meticulous restoration process, the 116-room
urban resort opened in 2008 and immediately
established itself as the market leader in
Florence.
Despite the fragile domestic economic and
political environment, this high quality trophy
asset received a healthy level of interest
from national and international investors,
particularly from Asia and the Middle East. The
Four Seasons Florence, encumbered with a
long-term management agreement with Four
Seasons, was ultimately sold to the sovereign
wealth fund of Qatar.
• Meticulous restoration process of listed buildings and gardens
• Prestigious historic buildings, with frescoed adorned guest rooms, suites and public areas, set
within Florence’s largest private-like gardens
• Since opening in 2008, the Four Seasons Florence immediately established itself as the celebrated
market leader in Florence
• Upside potential as the Four Seasons opened during the bottom of the market and has yet to
achieve its stabilized trading level
SOLD
Roberto Galano
[email protected]
127
128
Hotel Pulitzer Amsterdam
Amsterdam, Netherlands
JLL’s Hotels & Hospitality Group was retained
in 2013 to advise on the divestment of Hotel
Pulitzer Amsterdam. Hotel Pulitzer represents
one of the key five star hotels in Amsterdam.
• JLL was involved in the sale of hotel Pulitzer in 2006 (as part of a larger portfolio)
• The sale represents the second largest ever recorded single asset trade in Amsterdam
SOLD
Christoph Härle
[email protected]
129
130
Bristol Warsaw, A Luxury Collection Hotel
Warsaw, Poland
Situated on the celebrated Royal Route, next
to the Presidential Palace and just a short walk
from the Old Town, Royal Castle, the National
Theatre and Opera House, Hotel Bristol has
served as a city landmark and distinguished
destination since 1901. It is widely considered to
be the best hotel in Warsaw and even Poland.
The hotel was sold to a UK based family trust.
• 206 guest room hotel
• Trophy hotel with freehold title to the building
• Operated by Starwood Hotels & Resorts on a management agreement under the prestigious
‘Luxury Collection’
• EUR9.2 million has been invested in fully refurbishing and significantly upgrading the guest rooms
• One of Poland’s luxury Palace hotels with a prime position overlooking Warsaw’s Presidential
Palace
• Sold in December 2013
SOLD
Daniel Pugh
[email protected]
Patrick Saade
[email protected]
131
132
InterContinental London Park Lane
London, United Kingdom
JLL’s Hotels & Hospitality Group was appointed
as advisors to offer for sale the 447 bedroom
trophy hotel InterContinental London Park
Lane. Operated by IHG, under their prestigious
InterContinental brand, the hotel was subject
to a long term management agreement with
InterContinental Hotels & Resorts.
• Built on a site that once housed the former childhood residence of Her Majesty Queen Elizabeth
In April 2013, InterContinental London Park
Lane was sold to an undisclosed international
buyer for a price of over GBP300 million. The
sale represented an extremely rare investment
opportunity with only a handful of trophy Mayfair
hotels changing hands during the last decade.
• Located in one of the world’s most prestigious and sought after hotel trading locations on Park Lane
• Magnificent landmark building
• Outstanding and recently refurbished five-star hotel product
• Opportunity to partner with one of the world’s leading hotel operators
• Excellent track record of highly profitable trading performance
The sale is record breaking in a number of
ways including being the largest ever sale and
manage-back of a single asset in the London
hotel market and the only ever sale & manageback transaction to have occurred on world
famous Park Lane.
SOLD
George Nicholas
[email protected]
Daniel O’Connor
[email protected]
133
134
Marriott Portfolio
Portfolio, United Kingdom
JLL’s Hotels & Hospitality Group and Hawkpoint
were appointed as exclusive agents to sell
the Marriott Portfolio of 42 hotels on behalf of
Fawkes Holdings Limited. In February 2013,
following several rounds of bidding, the 42-hotel
portfolio, comprising over 7,800 bedrooms was
sold.
• Marriott International is one of the largest and most successful global hotel operators
• The portfolio comprised a mix of new build properties and key, historic landmark buildings including
the Grade II listed County Hall hotel in Central London
• Hotels situated in prime Central London as well as coverage of the major regional conurbations
The hotels continue to be operated by Marriott
subject to long term Management Contracts.
The sale is the largest UK hotel portfolio
transaction to complete since the financial
crisis of 2007/ 2008 and represents a significant
vote of confidence in the UK hotel market by
international investors.
SOLD
Jonathan Hubbard
[email protected]
George Nicholas
[email protected]
135
136
Le Méridien Etoile
Paris, France
JLL was retained to sell of the 1,025-room hotel Le
Méridien Etoile, located at Porte Maillot in Paris.
Directly facing the Palais des Congrès, the largest
congress venue in Europe and a major demand
driver, and situated a few minutes away from the
famous Avenue des Champs Elysées, Le Méridien
Etoile enjoys a prominent strategic location.
Le Méridien Etoile is an exceptional conference/
conventions hotel that offers the perfect
combination of rooms and meeting facilities to
accommodate corporate meetings and events of
all sizes. It is one of the few hotels in Paris that has
the capacity and service offering to accommodate
large groups and events of up to 1,000 people.
Offered on a freehold basis and with the benefit of
a management agreement with Starwood Hotels &
Resorts – one of the world’s leading hotel groups
– Le Méridien Etoile represents an exceptional
opportunity to acquire the largest hotel in Paris –
the most visited city in the world.
• Prominent island site facing Palais des Congrès, the largest congress venue in Europe and a major
demand generator
• Located between the city’s historical centre and the business district of La Défense
• Easily accessible from most major tourist and business districts of the city due to its convenient
location near the CBD and the financial district
• Enjoys a quick connection to the high-end suburb of Neuilly-sur-Seine and the “Golden Triangle”
shopping and business area
• One of the most sought-after hotel investment markets worldwide with high barriers to entry
• Very well-diversified demand mix of leisure and business travellers
• Robust trading performance expected to strengthen throughout 2013
• Prominently situated on a freehold island site, midway between Paris’s central business district and
La Défense
• The main tourist attractions of Paris are within minutes of the hotel
• Leading operator with unparalleled global business engines, with more than 100 hotels over 50
countries
SOLD
Patrick Saade
[email protected]
137
138
Trianon Palace Versailles, A Waldorf Astoria Hotel
Paris, France
JLL was appointed to sell the luxurious Trianon
Palace in Versailles, vacant possession,
unencumbered by brand or operator and on
a freehold basis. Utilizing both our local and
international network and ability to source capital
for opportunities anywhere in the world JLL
brought forward a pre-emptive offer from Michel
Ohayon, a French HNWI. In February 2014,
Trianon Palace was sold.
• Hotel Trianon Palace Versailles embodies a truly distinctive piece of real estate set within lush
and vivid gardens, and situated just steps away from the acclaimed Palace of Versailles – one of
France’s finest luxury retreats
• Comprising 199 tastefully appointed guest rooms and suites split between the Palace and Pavilion
buildings, the property is perfectly suited for corporate meetings and events as well as high-end
luxury leisure travel and weddings. Additional indulgent features, including an exquisite restaurant
by legendary Chef Gordon Ramsay and Guerlain Spa facility, perfectly complement these
outstanding facilities
• Hotel Trianon Palace Versailles has undergone a recent meticulous renovation, blending its historic
grandeur with exquisite modern luxuries, whereby EUR21.7 million was invested (including EUR11.9
million on the guest rooms). Even though trading substantially increased subsequently, further room
for growth is evident
SOLD
Thomas Lamson
[email protected]
Patrick Saade
[email protected]
139
140
Club Med Pragelato Vialattea
Italian Alps, Italy
Opened in 2006 for the Turin Winter Olympic
games as a Kempinski, the property was
converted into a new generation 4-trident Club
Med resort in 2012. The resort comprises 20
chalets for 234 guest rooms and suites, three
restaurants, two bars, extensive wellness centre,
ski-school and kids club, occupying some 24,000
square metres of built area.
• The resort is encumbered with a new long-term triple-net lease agreement with Club Med SA
• The lease comprises a base and variable components. World renowned resort operator strongly
committed to the area
• Newly renovated freehold property with upside potential for further keys
The Club Med Pragelato benefits from a dedicated
ski-lift connecting the resort with the Milky Way
ski-region, which extends for over 400 kilometres
of pistes. The Club Med Pragelato resort was sold
to institutional investor HSBC Assurances vie in
May 2014.
SOLD
Roberto Galano
[email protected]
141
142
London Marriott Hotel Grosvenor Square
London, United Kingdom
JLL’s Hotels & Hospitality Group had been
appointed as sole exclusive agent to offer for
sale the leasehold interest in the 237 guest room
London Marriott Hotel Grosvenor Square in
Mayfair, London, on behalf of owners Strategic
Hotels & Resorts.
The hotel, which is located just metres away from
London’s retail and business precincts of Oxford
Street, Park Lane, Regent Street, Bond Street
and Berkeley Square, was sold with the benefit of
a long term management agreement to Marriott.
The West End hotel offers extensive conference
and private dining facilities and is home to Gordon
Ramsay’s Michelin starred restaurants Maze and
Maze Grill.
• Located on the North East corner of the world famous Grosvenor Square and boasting London’s
most prestigious postcode, W1, the hotel is situated just metres away from Oxford Street, Park
Lane, Regent Street, Bond Street and Berkeley Square
• Demolished and built as new in 1961 as part of a wider redevelopment of the northern portion of
Grosvenor Square, the London Marriott Hotel Grosvenor Square covers a site area of 2,760 square
metres (0.68 acres) and offers luxury accommodation over the lower basement to seventh floor
levels, extending to a total gross floor area of approximately 18,370 square metres (GIA)
• The 99-year leasehold expires on 29 September 2057 and has approximately 44 years unexpired
• Marriott International (NYSE: MAR) is the world’s third largest hotel group. The London Marriott
Hotel Grosvenor Square is part of a hospitality network which covers 74 countries, 3,801 properties
and 660,394 guest rooms
SOLD
George Nicholas
[email protected]
Daniel O’Connor
[email protected]
143
144
Europe Portfolio
Germany, the Netherlands, Belgium, France, Austria and Spain
JLL’s Hotels & Hospitality Group was appointed to
sell the Project Europe portfolio consisting of 3,878
rooms in 14 cities in Germany, the Netherlands,
Belgium, France, Austria and Spain. This
transaction also included a dedicated management
platform and represents the first platform deal in
five or more jurisdictions since the financial crisis.
Unrivaled exposure to major gateway cities in six European countries
• The portfolio is exceptionally well balanced and geographically diverse with assets in key cities
including Paris, Amsterdam, Munich, Brussels, Berlin, Hamburg and Vienna
Freehold and virtual freehold assets with flexible structure potential
• The majority of the portfolio is held freehold or on long leasehold, offering an unmatched
opportunity to create a notable presence in these key European markets which are poised for
continued robust growth in occupancy and rate
Established brand and scalable management platform
• Operated under franchise agreements with IHG, the hotels are managed by a separate
management platform which has a deep and long-standing expertise of the Portfolio
Significant upside potential
• The portfolio has consistently delivered strong returns with remarkable downside protection and
offers today significant potential for increased performance through value-enhancing capital
investment
• Each of the hotels is located in markets with favourable supply and demand dynamics where
recovery in trading is expected
SOLD
Christoph Härle
[email protected]
145
146
Mövenpick Hotel Jumeirah Beach
Dubai, United Arab Emirates
The MENA Capital Markets & Hotels team have
jointly advised on the sale of Mövenpick, Jumeirah
Beach Residence in Dubai. The buyer is a Real
Estate Investment Fund setup by Bank Muscat
based in Oman.
• Freehold
JLL was appointed on the sale of this 294 key
asset by the owners Sheikh Mubarak Al Nahyan
and Omar Askari in June 2013. The sale includes
an 88 apartment residential building as well.
• Beachfront location with stunning waterviews
• Operated by Mövenpick Hotels & Resorts on a long term management agreement
• Recently completed and has undergone light refurbishment
The Freehold five-star property lies in the heart
of one of Dubai’s newest dynamic and most lively
urban locations. It is only a few steps away from
the prime beachfront mall known as ‘The Beach’
featuring a large collection of prestige shopping
and dining destinations.
SOLD
Chiheb Ben-Mahmoud Amr El Nady
[email protected]
[email protected]
147
Over 100 hotel
projects in excess of
USD1.5 billion over
the past seven years
Every hotel tells a story that inspires
a unique solution
With 3,000 professionals from around the world, JLL delivers the most integrated project and
construction management service in the industry.
By matching the right experience and expertise to your project, JLL ensures you not only receive
a consistent journey, but achieve the most successful project outcomes.
For more information please contact [email protected]
Jones Lang LaSalle
© 2014 Jones Lang LaSalle IP, Inc. All rights reserved.
About JLL’s Hotels & Hospitality Group
JLL’s Hotels & Hospitality Group serves as the hospitality industry’s global leader in real estate services for luxury, upscale, select service and budget
hotels; timeshare and fractional ownership properties; convention centers; mixed-use developments and other hospitality properties. The firm’s 300
dedicated hotel and hospitality experts partner with investors and owner/operators around the globe to support and shape investment strategies that
deliver maximum value throughout the entire lifecycle of an asset. In the last five years, the team completed more transactions than any other hotels
and hospitality real estate advisor in the world totaling nearly US $36 billion, while also completing approximately 4,000 advisory, valuation and asset
management assignments. The group’s hotels and hospitality specialists provide independent and expert advice to clients, backed by industry-leading
research.
For more news, videos and research from JLL’s Hotels & Hospitality Group, please visit: www.jll.com/hospitality or download the Hotels & Hospitality
Group’s smartphone and tablet app available on iOS and Android devices.
The Editor: Raoul de Lantsheere
+65 6494 3645 | [email protected]
On the Cover Conrad Seoul, South Korea
www.jll.com/hospitality
JLL’s Hotels & Hospitality Group
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Tel +1 404 995 2100
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Manchester
Tel +44 161 828 6440
Perth
Tel +61 8 9322 5111
Barcelona
Tel +34 93 318 5353
Frankfurt
Tel +49 69 2003 0
Marseille
Tel +33 4 95 09 13 13
Rome
Tel +39 06 4200 671
Beijing
Tel +86 10 5922 1300
Glasgow
Tel +44 141 248 6040
Melbourne
Tel +61 3 9672 6666
São Paulo
Tel +55 11 3043 6900
Brisbane
Tel +61 7 3231 1400
Hong Kong
Tel +852 2846 5000
Mexico City
Tel +52 55 5980 8054
San Francisco
Tel +1 415 395 4900
Buenos Aires
Tel +54 11 4893 2600
Istanbul
Tel +90 212 350 0800
Miami
Tel +1 305 529 6345
Shanghai
Tel +86 21 6393 3333
Chengdu
Tel +86 28 6680 500
Jakarta
Tel +62 21 2922 3888
Milan
Tel +39 02 8586 8672
Singapore
Tel +65 6536 0606
Chicago
Tel +1 312 782 5800
Leeds
Tel +44 113 244 6440
Moscow
Tel +7 495 737 8000
Sydney
Tel +61 2 9220 8777
Dallas
Tel +1 214 438 6100
London
Tel +44 20 7493 6040
Munich
Tel +49 89 29 00 88 182
Tokyo
Tel +81 3 5501 9240
Denver
Tel +1 303 260 6500
Los Angeles
Tel +1 213 239 6000
New Delhi
Tel +91 124 331 9600
Washington D.C.
Tel +1 202 719 5000
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Jones Lang LaSalle Property Consultants Pte Ltd
CEA Licence No. L3007326E
COPYRIGHT © JONES LANG LASALLE 2014 All rights reserved. No part of this publication may be published without prior written permission from Jones Lang LaSalle. The information in this publication
should be regarded solely as a general guide. Whilst care has been taken in its preparation no representation is made or responsibility accepted for the accuracy of the whole or any part. We stress that
forecasting is a problematical exercise which at best should be regarded as an indicative assessment of possibilities rather than absolute certainties. The process of making forward projections involves
assumptions regarding numerous variables which are acutely sensitive to changing conditions, variations in any one of which may significantly affect the outcome, and we draw your attention to this factor.