Jones Lang LaSalle Hotels has confirmed the sale of the Mövenpick Resort & Spa Karon Beach Phuket, on behalf of its owner Kingdom Hotel Investments, to Crystal Caliber Sdn Bhd, a wholly owned subsidiary of Malaysia based TA Global Bhd. Jones Lang LaSalle Hotels brokered the transaction as exclusive advisor to Kingdom Hotel Investments. The total purchase consideration was US$90,208,000.
Occupying a prime location along Phuket’s western coast on Karon Beach and set within extensive landscaped tropical gardens, the 338-key Mövenpick Resort & Spa Karon Beach is one of Phuket’s most established resorts. In addition to its wide range of room categories, the resort features 30 two-bedroom residences, eight food and beverage outlets, four swimming pools, in excess of 1,350 square meters of dedicated meeting space and a variety of recreational facilities.
Commenting on the sale, Nihat Ercan, Senior Vice President Investment Sales, Jones Lang LaSalle Hotels said: “this transaction is a milestone achievement as it represents the largest single asset sale to have taken place in Thailand in recent years.” Ercan added: “On the back of an international tender process, the sale generated not only strong domestic interest but also significant demand from across the Asia region, highlighting the strength of investor sentiment that exists for well-located, internationally-branded assets in Phuket.”
Mike Batchelor, Managing Director Investment Sales Asia, Jones Lang LaSalle Hotels commented: “The sale of the Mövenpick Resort & Spa Karon Beach brings Jones Lang LaSalle Hotels’ total transacted hotel volume in Thailand over the last 24 months to over THB 13.5 billion (USD 440 million), comprising a total of eight hotel sales in Phuket (5), Bangkok (1), Koh Samui (1) and Koh Phi Phi (1).
“The substantial volume of hotel transactions and continued pace of market activity are a testament to the strength of the continued demand that exists for opportunities in Phuket, arguably Asia’s most highly sought after resort market, as well as in the wider Thai market. Whilst availability of suitable product remains a challenge, we expect continued robust activity in the Thai hotel sector with demand increasingly driven by regional buyers.”
Mr Ercan concluded: “The Mövenpick Resort & Spa Karon Beach offers excellent opportunities for future growth in a gateway resort market that is primed to benefit from continued growth in visitor arrivals and healthy business fundamentals.”