Singaporean private equity firm buys Constellation hotels
Singaporean funds have continued to flow into Australian commercial property, with private investment firm Nadathur Fareast buying Tourast Corporations’ Constellation Hotels business, which includes management of over 60 hotels in Australia and New Zealand.
The sale price has not been disclosed.
The portfolio includes Chifley, Australis Resorts and Hotels, and Country Comfort brands. The company also operates the Sundowner Motels brand and includes six hotels in New Zealand.
Singapore funds have invested heavily in Australia commercial property this year, with real estate trust K-REIT spending $150 million in July for a 50% stake in the 8 Chifley Street, Sydney office tower, currently under construction.
Touraust Corporation chairman and founder Darryl Courtney-O’Connor says the sale has secured a “strong future for Constellation Hotels, its people, brands and unique business platform”.
He says the deal with Nadathur Fareast is the best way to maintain Constellation Hotel’s successful Australian operation while optimising growth of the business throughout Asia Pacific.
“Constellation Hotel’s ambition is now to meet the increasing demand for new generation hotels in lively destinations across the region by replicating the successful brands, operational platforms, loyalty systems and culture developed on Australian soil.”
Courtney-O’Connor founded Constellation Hotels 25 years ago.
Constellation Hotels CEO John Wooller and his executive team will continue to manage the business, the Australian Financial Review reported.
Nadathur Fareast manages an investment portfolio of about $600 million and was founded by NS Raghavan, co-founder of US-based IT consultants Infosys Technologies.
