Far East Consortium to sell two Australian properties

Hong Kong developer the Far East Consortium (FEC) has enlisted CBRE and McVay Real Estate to market two Ritz Carlton hotels, in Melbourne and Perth, with a total of 462 luxury rooms.

The Melbourne hotel only opened in March, while the 205-room Perth hotel opened two years ago.

“The exercise to sell the Ritz Carlton hotels in Australia is for capital recycling and it is consistent with our stated group’s strategy,” an FEC representative has told Mingtiandi.

The group is asking about AU$500 million ($342 million) for the portfolio, according to Mingtiandi.

FEC chairman and CEO David Chiu has listed the properties after several deals for hotels in Australia and after selling the Sheraton Grand Mirage hotel (alongside partner The Star) on Queensland’s Gold Coast for A$192 million ($130.78 million).

The Star and fellow Hong Kong Stock Exchange-listed Chow Tai Fook hold heavy stakes in The Star - including a 25 percent share each of the multi-billion-dollar casino-hotel and residential project Queen's Wharf Brisbane - set to open in April of next year.