Almost two weeks after the rumours began, it’s been confirmed that the InterContinental Double Bay hotel has been sold for $140 million.
Per News Corp reports, the Royal Group, the company who owns the iconic hotel, has sold it to Shanghai United Real Estate Inc and Zobon Real Estate Group Co., Ltd.
After paying $60 million for it back in 2013, the Singaporean owners at Royal Group spent millions of dollars revamping the 140-room luxury property, before reopening it as the InterContinental, under management by IHG.
Per reports, the hotel will continue to operate under IHG management.
“The sale of this asset followed our strategy of recycling capital following the initial stabilisation period,” Royal Group managing director Peter Wilding said, per News Corp.
“Whilst we understand that the price of circa $140 million is a record for non CBD hotels in Australia we will miss working with all the local stakeholders in the ongoing rejuvenation of Double Bay.
“We are pleased with the sale and congratulated the purchasers on their acquisition of a beautiful and unique property.”
“The InterContinental Sydney Double Bay sale is the first luxury hotel to be sold in Sydney since the sale of the Westin Sydney in 2015,” said Craig Collins of JLL Hotels and Hospitality Group, the company who helped manage the sale.
“The Sydney hotel market is hot and in my 22 years of selling hotels I have never seen it this strong.”
Shanghai United has taken a strong liking to the Sydney market in recent years, and per News Corp has acquired five properties in the city since 2015.
Earlier this week, they also announced a partnership with AccorHotels to build the brand new luxury boutique MGallery by Sofitel hotel in Sydney’s CBD.
