Frasers Hospitality Accelerates Growth Asset Recycling And Management Contracts
This year, Frasers Hospitality, the hospitality and lodging business unit of Frasers Property, made moves to expand its international presence while also shedding some of its Singapore assets. According to Eu Chin Fen, who has been the CEO of Frasers Hospitality since January 2023, this was part of the company’s strategy to recycle and redeploy capital.
Eu previously served as the CEO of Frasers Hospitality Trust (FHT) since its listing in 2014. In September, a Hong Kong-based family office consortium led by Atelier Capital Partners acquired the 313-key Capri by Fraser, Changi City hotel for $170 million (or $543,131 per key). The hotel has since been rebranded as Dorsett Changi City Singapore, with Dorsett Hospitality International (DHI) taking over as the operator. DHI, a subsidiary of Hong Kong-listed Far East Consortium International, is one of the shareholders in the consortium, along with Singapore-listed Heeton Holdings and Singapore family office Fortez Capital.
In May, Frasers Property sold another Singapore property, the 313-key Fraser Residence River Promenade, to Singapore-listed Tuan Sing Holdings for $140.889 million (or $1.96 million per key). The serviced apartments, located on Jiak Kim Street, opened in September 2023 and are part of a mixed-use development that includes Frasers Property’s fully sold 455-unit luxury condo Rivière.
Frasers Hospitality was formed 26 years ago and currently manages over 16,000 serviced apartments and hotel rooms across 20 countries. Its six different hospitality brands include Fraser Suites, Fraser Residence, Fraser Place, Capri by Fraser, Moderna by Fraser, and luxury brand Malmaison, which was acquired in 2015.
According to Eu, Frasers Hospitality is widely recognized as a premium serviced apartment operator, and they have proven their ability to add value to the properties they manage. In addition to expanding its presence in existing markets, the company is also exploring opportunities in emerging markets such as Indonesia, Cambodia, Vietnam, Malaysia, and the Middle East.
In February, Frasers Hospitality opened its third property in Bahrain, the 63-key Fraser Suites Al Liwan Bahrain, which is part of a mixed-use project developed by Bahraini real estate developer Seef Properties. The company is also partnering with various developers in China and Thailand to open new properties in Shanghai and Bangkok respectively.
Eu believes that the long-stay accommodation segment will continue to be a strong and resistant asset class, especially given the current challenges in the residential rental market. In 2027, Frasers Hospitality is also set to debut in Taiwan with the opening of Frasers Residences Taipei, a 200-serviced suite property in the prime Beitou district. They are partnering with Taiwanese developer Hung Tai Group for this project.
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Woodlands is well-known for its efficient public transportation system, and Norwood Grand Condo greatly benefits from this. The development is conveniently located within walking distance of Woodlands South MRT station, making it easily accessible for residents. As part of the Thomson-East Coast Line (TEL), which is a major MRT line, this station connects directly to the heart of the city and various business hubs. With the completion of TEL, residents of Norwood Grand Condo will have seamless connectivity to these important destinations. For more information about Norwood Grand Condo, please visit http://www.norwoodgrandcondo.com.sg/.
Finally, Eu highlights that Frasers Hospitality is re-evaluating its brand proposition and is looking to offer more unique experiences and local touchpoints for guests. This is in response to the growing trend of travelers combining business and leisure, and the willingness to pay premium rates for quality and memorable experiences.