Published 25 July 2018, updated 25 July at 10pm.
Updates: Closing date of expressions of interest, leasehold rooms.
AccorInvest has put its Australian portfolio of 23 hotels up for sale, with long-term operating leases to AccorHotels.
The portfolio – 17 freehold & 6 leased properties valued at over $A300 million – is being offered through an expressions of interest campaign conducted by JLL Hotels & Hospitality for either the whole portfolio or individual hotels, closing on Tuesday 28 August.
The Accor SA hotel group of France split its business into operator (AccorHotels) & investor (AccorInvest) in 2013. In February this year, Accor announced it intended to sell 55% of AccorInvest, which owned 891 hotels around the world at that time, to 2 sovereign funds, Saudi Arabia’s Public Investment Fund and GIC of Singapore, institutional investors Credit Agricole Assurances, Colony NorthStar & Amundi, and other investors.
That transaction was completed at the start of June, with 57.8% sold for a total €4.4 billion ($NZ7.56 billion).
Meanwhile, AccorHotels completed its acquisition of Australian hotelier the Mantra Group Ltd’s operating business in June for $A1.2 billion. Mantra had a portfolio of 125 Peppers, Mantra & BreakFree hotels & resorts in Australia, New Zealand, Indonesia & Hawaii. 11 are in New Zealand.
4 of AccorInvest’s 17 Australian freehold assets are Ibis hotels and the other 12 Ibis Budget. They contain a total 1797 rooms. The 6 lease interests are the Como Mgallery by Sofitel in Melbourne, the Novotel, Mercure & Ibis hotels in Brisbane and the Mercure & Ibis hotels in Perth, containing another 1249 rooms.
AccorInvest acquired 15 of the Ibis hotels from the Abu Dhabi Investment Authority for $A200 million in December 2016, as part of a restructure of that sovereign wealth fund’s restructure of its 31-hotel Australian portfolio.
JLL, 24 July 2018: One of Australia’s largest hotel portfolios for sale
15 October 2017: AccorHotels details full takeover of Mantra
Attribution: JLL release, Accor.