LONDON (dpa-AFX) - City Developments Ltd. or CDL (CDEVY, C09.SI) on Tuesday announced the acquisition of 706-room Holiday Inn London at Kensington High Street for 280 million pounds or approximately S$480.2 million.
CDL's unit Copthorne Hotel Holdings Limited has completed the acquisition for 396,600 pounds or approximately S$680,200 per room.
The 6,356 sqm freehold site in London's Royal Borough of Kensington and Chelsea is expected to generate over 6% running yield.
The hotel has achieved high occupancy rates of over 97% for the nine months to September 2025. Total revenue for the preceding 12 months exceeded 39 million pounds or around S$66.9 million.
With the acquisition, the Group will enhance its presence in Central London with a portfolio of over 3,000 hotel rooms. The deal aligns with the firm's strategy of investing in rare, value-creation opportunities to enhance its portfolio quality, and ease interest rates in the UK.
In 2025, CDL so far made four investments totalling around S$1.7 billion, in which S$1.2 billion was allocated to purchase three Government Land Sales sites to replenish Singapore residential pipeline.
Kwek Leng Beng, CDL's Executive Chairman, said, 'This is a once-in-a-lifetime chance to secure an ultra-prime freehold site in Central London.... With this acquisition, the Group will now own two of the largest freehold sites in London's most affluent Royal Borough of Kensington and Chelsea.'
The CDL shares are trading 0.97% higher at S$7.27 on the Singapore Stock Exchange.
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