Singapore’s sovereign wealth fund GIC acquired a portfolio of 16 hotels operated by Marriott International in Japan for approximately ¥125 billion, equivalent to about $800 million, according to citybiz. The properties are managed under Marriott’s Four Points Flex by Sheraton brand. The seller was funds managed by KKR & Co. Inc.
Marriott International will maintain operations at all 16 hotels under the existing Four Points Flex by Sheraton brand following the sale. The average price paid per hotel was about ¥7.8 billion. KKR had initially disclosed the sale to a leading global institutional investor before Bloomberg identified GIC as the
buyer.
Context of the Transaction
This transaction marks KKR’s exit from the 16-hotel portfolio through its managed funds. The purchase expands GIC’s global property investments with a significant real estate acquisition in Japan’s hospitality market.
