Ascott has formed a strategic alliance with Ciputra Development Group, one of Indonesia’s top property developers, to manage serviced residences in Indonesia and China within the next five years.
The announcement made yesterday did not disclose the number of properties Ciputra was planning to develop in both countries within the period, but revealed that the 253-unit Citadines Sudirman Jakarta targeted to open in 2021 would be the first property under the alliance.
Artadinata Djangkar, senior director of Ciputra, said that prior to formalising the alliance, the companies had already been in partnership over a span of two decades.
“It started with Somerset Grand Citra Jakarta in 1996 (which is jointly owned with Ascott Residence Trust). Ascott also acquired Ascott Kuningan Jakarta from Ciputra in 2014 and Ascott Sudirman Jakarta in 2017,” he said.
The signing ceremony yesterday also simultaneously marked the opening of the 192-unit Ascott Sudirman.
Artadinata said: “In Indonesia, we have properties in cities such as Jakarta, Semarang and Surabaya with the potential to be developed into serviced residences. These properties can be managed by Ascott through its portfolio of brands.”
Kevin Goh, Ascott’s CEO, said: “Forming strategic cooperation with leading industry players continues to be a key growth strategy for Ascott, as it provides us with accelerated access to a pipeline of quality projects.”
The alliance with Ciputra follows Ascott’s recent partnership with Tauzia Hotel Management, one of Indonesia’s major hotel operators.
Goh added that strategic partnerships have helped Ascott add the biggest number of properties in Indonesia in a year.
“With an expanded product offering, we expect to pick up pace in our growth in the country. Indonesia is South-east Asia’s largest economy, where we see huge potential for us to expand.”
Erwin Yeo, Ascott regional general manager Singapore, Malaysia and Indonesia, said Ascott currently operated nine properties in Indonesia and would open nine more serviced residences with more than 1,600 units in the country over the next five years, including first properties in Bandung, Somerset Asia Afrika Bandung and Citadines Kings Bandung.