Leading diversified professional services and investment management company Colliers (NASDAQ:CIGI, TSX: CIGI) and Knight Frank Hong Kong have been appointed today as the joint sole agents for the sale of “Hotel COZi Resort Tuen Mun” at No. 4 Kin Fung Circuit, Tuen Mun, New Territories, Hong Kong by the Receivers.

Located at the intersection of Kin Fung Circuit and Tsun Wen Road in Tuen Mun, the 14-storey property was built in 1982 and revitalised in 2019. With a gross floor area of 227,107 sq. ft., it provides 430 rooms and 23 parking spaces (including private cars, tourist coaches and lorries).

Thomas Chak, Head of Hong Kong Capital Markets and Investment Services of Colliers, commented, “The property is conveniently located within a three-minute walk from MTR Tuen Mun station, with a public transport interchange and a cross-border bus terminus in close proximity. Connected to both the Tuen Mun Road and Kong Sham Western Highway, the hotel is a 15-minute drive from Shenzhen Bay Port. The Hong Kong-Zhuhai-Macao Bridge Hong Kong Port and Hong Kong International Airport can also be reached in just 20 minutes from the property via Tuen Mun Chek Lap Kok Tunnel, facilitating convenient travel between Hong Kong, Mainland China, and other parts of the world.”

While the post-pandemic global economy remains unstable, the on-track recovery of inbound tourism and Hong Kong government’s efforts in promoting travelling and business activities have driven growth in retail and hotel investment.

Multiple en-bloc hotel transactions were recorded in the past two years, including the sale of “Hotel Sav” at 83 Wuhu Street, Hung Hom by Chuang's Consortium International Ltd for HK$1.65 billion, the acquisition of Bay Bridge Lifestyle Retreat in Tsuen Wan by Magnificent Hotel Investments for HK$1.42 billion, and the acquisition of Rosedale Hotel Kowloon in Tai Kok Tsui by the international group WEAVE LIVING specialising in co-living studios for HK$1.375 billion. This shows that investors remain confident about the long term growth of the hotel market.

Mr. Willis Mak, Executive Director, Head of Private Clients, Greater China at Knight Frank said, “Hotel COZi Resort Tuen Mun is Hong Kong's first vacation themed resort hotel, with a total of 430 rooms and suites decorated in themed styles of various countries. There are also facilities including shops, restaurants, meeting rooms, a children’s playroom and an outdoor swimming pool. In addition, the property is adjacent to a large scale composite development site of over 2.07 millon sq. ft., previously the KMB depot with future plans for three large scale commercial buildings and retail malls. The site is expected to be a new landmark of Tuen Mun upon the completion of the project.

With the current hotel occupancy rate reaching 90%, further recovery in the hotel industry driven by higher demand can be anticipated. The boost in inbound tourism will drive market growth and business travellers, such as conference and exhibition attendees, are expected to return. Investors are advised to seize the opportunity to acquire properties during the market recovery phase to benefit from stable rental income and property appreciation upon the full recovery of the global economy and tourism sector.”