Date: January 2020
Location: The Hannam-dong, Yongsan District, Seoul, South Korea
Name: The Grand Hyatt Seoul
No. of Keys: 615, including 53 suites.
Seller: Hyatt Hotels Corporation, who opened the hotel in 1978. They appointed JLL to conduct the sale.
Buyer: Hong Kong-based investment firm, PAG, led by Weijan Shan, and Seoul-based Inmark Asset Management has formed a consortium to acquire the iconic 615-key Grand Hyatt Seoul for KRW560 billion. The hotel was sold subject to a long-term management agreement with US-based Hyatt Hotels Corporation and will continue to operate under the Grand Hyatt brand.
PAG has four major investment funds, with US$29bn invested in 7,000 properties across Asia
Inmark was established by two Australian-based companies, namely INMARK Group, a real estate investment business, and Millinium Capital Managers, a fully licensed funds management company in Australia, with interests in an office building in London – Citypoint, similar in Vienna, Hong Kong, Seoul, Los Angeles and the Four Seasons in Hawaii
The property occupies over 73,000 square metres of freehold land in the heart of Hannam-dong, one of the most affluent neighbourhoods in Seoul. The property features 12 restaurants and bars, a spa, and 19 meeting spaces.
After the renovation completion in May 2019, the hotel saw an addition of 14 rooms, an extensive transformation of all guestrooms and suites, as well as its signature Grand Ballroom. The property also has a long-standing reputation as one of the most luxurious hotels in the city.
The acquisition comes after a joint venture between Singapore-based Datapulse Technology and Bizcentre Capital, a unit of Malaysia-based developer, Plenitude Berhad, in April purchased the 224-room Holiday Inn Express Euljiro hotel in Seoul for KRW59 billion (US$50.8 million).
That transaction followed Datapulse’s acquisition of the 127-room Hotel Aropa in Seoul for KRW 35 billion in December 2018, and Ascendas Hospitality Trust made another Korean hotel acquisition in the same month, buying the Ibis Ambassador Seoul Insadong for KRW 77.5 billion.
Price: KRW 560bn – US$484m
Price per Key: KRW 910.5m – US$787,058
THPT Comment: Much movement in the Seoul hotel scene at both ends of the market.
First Seen: The Investor, Korea Herald
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