Four Points by Sheraton Sydney sold - JLL
Contact
Four Points by Sheraton Sydney sold - JLL
Jerry Schwartz has sold Sydney's Four Points by Sheraton through JLL Hotels & Hospitality Group’s Managing Director, Mark Durran.
-
JLL Hotels & Hospitality Group
In one of the largest single asset hotel transactions to date in 2021, Schwartz Family Company has entered into binding agreements to sell its Four Points by Sheraton Sydney, Central Park to a North American Private Equity firm in a deal brokered through JLL Hotels & Hospitality Group’s Managing Director, Mark Durran.
The sale is understood to be approximately $150 million to US based private equity firm, KSL CAPITAL Partners.
The transaction comes after the recent sale of the Primus Hotel Sydney for $131,500,000 to ProInvest, also though JLL Hotels & Hospitality Group. Primus will be relaunched in August as Australia’s first Kimpton Hotel – a luxury lifestyle hotel brand. The next major offering for the market is the Rydges Sydney Airport Hotel.
Dr Jerry Schwartz told WILLIAMS MEDIA “I prefer to buy hotels in Sydney, not to sell given the historic difficulty in getting into this market due to the high barriers to entry, but it is prudent for me to rebalance my portfolio at this time."
“Reflecting its tier 1 location, the 318 room Rydges Sydney Airport Hotel has a long track record of market leading occupancy and financial performance since opening” said Mr Durran.
Mr Durran said, “after a hiatus in major hotel transactional activity during 2020, the cycle has been reset this year and a new wave of global and local investors are entering the market and positioning themselves for the recovery.”
“We anticipate Sydney will be one of the most liquid hotel investment markets in Asia Pacific this year as cashed up investors seek to acquire quality Portfolios and prime luxury and upscale hotel assets”
The Four Points by Sheraton Sydney, Central Park is a near-new hotel having opening in late 2018 and located at 88 Broadway, Chippendale, and forms part of the massive Central Park mixed use development. The Hotel achieved high occupancy rates of 85% in 2019 being its first full year of operation reflecting strong underlying demand in this location as well as excellent management by Marriott International.
The Four Points is expected to be a major beneficiary of the emerging innovation and technology precinct being developed near Central Station which will drive demand for hotels over the longer term in the southern end of the CBD.
The 4.5 star Four Points features 297 guest rooms, including 45 suites, together with a bar, restaurant, fitness centre, 50 dedicated car spaces and 551sqm of meeting space. Development approvals are in place to add 11 extra guest rooms as well as roofing over and enclosing an outdoor terrace area to create year-round use. A further approval allows for a distillery.
Similar to this:
Greenland Australia’s Primus Hotel sold to Pro-Invest Group - JLL
Westin Perth Hotel sold for over $200m - Mark Durran JLL Hotels
