{"id":357678,"date":"2023-08-31T23:14:09","date_gmt":"2023-08-31T15:14:09","guid":{"rendered":"https:\/\/www.mingtiandi.com\/?p=357678"},"modified":"2023-09-04T09:33:46","modified_gmt":"2023-09-04T01:33:46","slug":"indonesias-karim-family-buys-former-bank-of-china-sydney-hq","status":"publish","type":"post","link":"https:\/\/www.mingtiandi.com\/real-estate\/outbound-investment\/indonesias-karim-family-buys-former-bank-of-china-hq-in-sydney-for-34m\/","title":{"rendered":"Indonesia\u2019s Karim Family Buys Former Bank of China HQ in Sydney for $34M"},"content":{"rendered":"<div id=\"attachment_357673\" style=\"width: 778px\" class=\"wp-caption alignnone\"><img decoding=\"async\" aria-describedby=\"caption-attachment-357673\" class=\"size-full wp-image-357673\" src=\"https:\/\/www.mingtiandi.com\/wp-content\/uploads\/2023\/08\/39-york-Street-1.jpg\" alt=\"\" width=\"768\" height=\"512\" srcset=\"https:\/\/www.mingtiandi.com\/wp-content\/uploads\/2023\/08\/39-york-Street-1.jpg 768w, https:\/\/www.mingtiandi.com\/wp-content\/uploads\/2023\/08\/39-york-Street-1-400x267.jpg 400w, https:\/\/www.mingtiandi.com\/wp-content\/uploads\/2023\/08\/39-york-Street-1-640x427.jpg 640w\" sizes=\"(max-width: 768px) 100vw, 768px\" \/><p id=\"caption-attachment-357673\" class=\"wp-caption-text\">Invictus&#8217; new hotel on York Street will open in 2025. (Image source: JLL)<\/p><\/div>\n<p>Invictus Developments has acquired the former Bank of China Australian headquarters in Sydney for A$52.5 million ($34 million) with plans to convert the 15-storey tower into a luxury hotel as the Singapore-based investment firm assembles a portfolio of Aussie hospitality properties.<\/p>\n<p>\u201cWe are strong believers in the Australian hotel market, as international travel continues to rise to pre-COVID levels. Invictus Developments plans to build a A$500 million hospitality asset portfolio, focusing on key growth markets like Sydney and Brisbane,\u201d Chayadi Karim, a principal of Invictus and a son of Indonesian palm oil tycoon Bachtiar Karim, told Mingtiandi on Thursday.<\/p>\n<p style=\"text-align: center;\"><a data-no-instant=\"1\" href=\"https:\/\/ad.doubleclick.net\/ddm\/trackclk\/N6563.3378992MINGTIANDI\/B30546704.375324595;dc_trk_aid=566156183;dc_trk_cid=192150727;dc_lat=;dc_rdid=;tag_for_child_directed_treatment=;tfua=;ltd=;dc_tdv=1\" rel=\"noopener\" class=\"adv-link\" target=\"_blank\" aria-label=\"Copy of APAC_EN_Capabilities_Static_StandoutAPAC_780x250_Real Estate\"><img decoding=\"async\" src=\"https:\/\/www.mingtiandi.com\/wp-content\/uploads\/2023\/10\/Copy-of-APAC_EN_Capabilities_Static_StandoutAPAC_780x250_Real-Estate.jpg\" alt=\"\"  srcset=\"https:\/\/www.mingtiandi.com\/wp-content\/uploads\/2023\/10\/Copy-of-APAC_EN_Capabilities_Static_StandoutAPAC_780x250_Real-Estate.jpg 780w, https:\/\/www.mingtiandi.com\/wp-content\/uploads\/2023\/10\/Copy-of-APAC_EN_Capabilities_Static_StandoutAPAC_780x250_Real-Estate-400x128.jpg 400w, https:\/\/www.mingtiandi.com\/wp-content\/uploads\/2023\/10\/Copy-of-APAC_EN_Capabilities_Static_StandoutAPAC_780x250_Real-Estate-640x205.jpg 640w\" sizes=\"(max-width: 780px) 100vw, 780px\" width=\"780\" height=\"250\"   \/><\/a><script language='JavaScript1.1' src=\"https:\/\/ad.doubleclick.net\/ddm\/trackimpj\/N6563.3378992MINGTIANDI\/B30546704.375324595;dc_trk_aid=566156183;dc_trk_cid=192150727;ord=+ Date.now();dc_lat=;dc_rdid=;tag_for_child_directed_treatment=;tfua=;gdpr=${GDPR};gdpr_consent=${GDPR_CONSENT_755};ltd=;dc_tdv=1?\" attributionsrc ><\/script><\/p>\n<p>Owned by the Karim family, Invictus purchased the 15-storey office block at 39 York Street in the central business district from BOC, according to market sources who spoke with Mingtiandi, after the state-owned bank had moved out of the building it had occupied for 27 years.<\/p>\n<p>The deal for the property opposite Sydney\u2019s Wynyard train station, which concluded late last week, comes soon after Invictus had paid A$25 million to buy a Brisbane hotel from Ovolo, with the company having previously picked up one hospitality property each in Sydney and Brisbane.<\/p>\n<h3>Four Hotels in 8 Months<\/h3>\n<p>Chayadi Karim, who runs the family real estate business, said Invictus plans to spend about A$30 million to convert the 4,412 square metre (47,490 square foot) building at the corner of York and Erskine streets into an upscale hotel, with reopening targeted for no later than 2025.<\/p>\n<div id=\"attachment_357675\" style=\"width: 360px\" class=\"wp-caption aligncenter\"><img decoding=\"async\" aria-describedby=\"caption-attachment-357675\" class=\"wp-image-357675 size-full\" src=\"https:\/\/www.mingtiandi.com\/wp-content\/uploads\/2023\/08\/Chayadi-Karim-of-Invictus-1-e1693494766622.jpg\" alt=\"Chayadi Karim of Invictus\" width=\"350\" height=\"318\" \/><p id=\"caption-attachment-357675\" class=\"wp-caption-text\">Chayadi Karim of Invictus<\/p><\/div>\n<p>With the Wynyard station one of the busiest commuter hubs in the city, the property occupies a core location for a boutique hotel, according to Mitch Noonan, a director with JLL\u2019s New South Wales capital markets team, which advised on the deal. Noonan also pointed out the property\u2019s proximity to the well-known Martin Place pedestrian mall.<\/p>\n<p>Invictus is taking over the vacant building after besting 22 competing bids in a tender which ended in May.<\/p>\n<p>&#8220;International investors have been extremely consistent in displaying their confidence in the long-term prospects of core Sydney assets,\u201d Noonan said. \u201cThe redevelopment potential of 39 York Street was a unique selling point to prospective investors and underscores both the attractiveness of the location and faith in Sydney&#8217;s broader hospitality market.&#8221;<\/p>\n<p>The Karim clan have been actively expanding their hospitality portfolio since making their Down Under debut in December last year.<\/p>\n<p style=\"text-align: center;\"><a data-no-instant=\"1\" href=\"https:\/\/www.mingtiandi.com\/real-estate\/events\/oxford-ivanhoe-kic-savills-on-singapore-india-markets\/\" rel=\"noopener\" class=\"adv-link\" target=\"_blank\" aria-label=\"14 NOVEMBER 2023 conrad centennial Singapore\"><img decoding=\"async\" src=\"https:\/\/www.mingtiandi.com\/wp-content\/uploads\/2023\/11\/14-NOVEMBER-2023-conrad-centennial-Singapore.jpg\" alt=\"\"  srcset=\"https:\/\/www.mingtiandi.com\/wp-content\/uploads\/2023\/11\/14-NOVEMBER-2023-conrad-centennial-Singapore.jpg 780w, https:\/\/www.mingtiandi.com\/wp-content\/uploads\/2023\/11\/14-NOVEMBER-2023-conrad-centennial-Singapore-400x128.jpg 400w, https:\/\/www.mingtiandi.com\/wp-content\/uploads\/2023\/11\/14-NOVEMBER-2023-conrad-centennial-Singapore-640x205.jpg 640w\" sizes=\"(max-width: 780px) 100vw, 780px\" width=\"780\" height=\"250\"   \/><\/a><\/p>\n<p>Invictus earlier in August picked up the 50-key The Inchcolm by Ovolo hotel in Brisbane\u2019s Spring Hill suburb for A$25 million, Chayadi Karim confirmed to Mingtiandi. That acquisition came after the company in March was reported to be spending A$43.8 million to acquire <a href=\"https:\/\/www.australianpropertyjournal.com.au\/2022\/12\/14\/magid-sells-hotel-to-indonesian-family\/\">the 132-key Quest Wolloongabba apartment hotel<\/a> in Brisbane \u2013 about 10 minutes\u2019 drive from The Inchcolm.<\/p>\n<p>The company\u2019s first Australia buy was the 59-room Harbour Rocks Sydney hotel which it acquired from local tycoon Robert Magid<a href=\"https:\/\/www.australianpropertyjournal.com.au\/2022\/12\/14\/magid-sells-hotel-to-indonesian-family\/\"> for a reported A$40 million<\/a> in December.<\/p>\n<h3>Regional Portfolio<\/h3>\n<p>Back home, the firm lists four assets on its website including the upcoming 143-key Standard Hotel, which is slated to open near Singapore\u2019s Orchard Road in the first quarter of next year.<\/p>\n<p>The company also owns the House of Tan Yeok Nee, a Singapore national monument currently being used as corporate offices, and a set of conservation shophouses in Little India, as well as the KINN Capsule Hotel, which is scheduled to open in the Boat Quay area later this year.<\/p>\n<p style=\"text-align: center;\"><div style=\"margin-left: auto; margin-right: auto; text-align: center; \" id=\"mingt-2016152630\"><a data-no-instant=\"1\" href=\"https:\/\/www.yardi.asia\/Resource\/?resource=Data+Centres+Fuelling+the+AI+Future+%28White+Paper%29&#038;utm_source=mingtiandi&#038;utm_medium=website&#038;utm_campaign=wp23dcai\" rel=\"noopener\" class=\"adv-link\" target=\"_blank\" aria-label=\"Yardi - Data Centre v5_250\"><img decoding=\"async\" src=\"https:\/\/www.mingtiandi.com\/wp-content\/uploads\/2023\/08\/Yardi-Data-Centre-v5_250.gif\" alt=\"Yardi - Data Centre v5_250\"  width=\"780\" height=\"250\"  style=\"display: inline-block;\" \/><\/a><\/div><\/p>\n<p>In addition to Singapore and Australia, Invictus also targets investments in the tourism, residential and industrial sectors in Indonesia and Japan, according to its website.<\/p>\n<p>Family patriarch Bachtiar Karim heads Musim Mas Group, one of the largest palm oil companies in Indonesia, which started as Nam Cheong Soap Factory.<\/p>\n<p>Bachtiar Karim and his family ranked as Indonesia\u2019s 11th richest household in 2022, with a net worth of $4 billion, according to Forbes.<\/p>\n<h3>Foreign Capital Magnet<\/h3>\n<p>Invictus\u2019 latest acquisition adds to a string of Singapore purchases of Australian hospitality assets in recent months.<\/p>\n<p>In July, Worldwide Hotels Group purchased the 472-key <a href=\"https:\/\/www.mingtiandi.com\/real-estate\/outbound-investment\/worldwide-follows-singapore-record-deal-with-113m-melbourne-hotel-buy\/\">Novotel and ibis Melbourne Central Hotel<\/a> from fellow Lion City firm Well Smart Investment Holdings for A$170 million.<\/p>\n<p>That acquisition came four months after SGX-listed heavyweight City Developments Ltd agreed in March to pay A$177.7 million to acquire the 416-key <a href=\"https:\/\/www.mingtiandi.com\/real-estate\/outbound-investment\/singapores-cdl-buys-aussie-hotel-from-brookfield-for-119m\/\">Sofitel Brisbane Central hotel<\/a> from Brookfield Asset Management.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Invictus Developments has acquired the former Bank of China Australian headquarters in Sydney for A$52.5 million ($34 million) with plans to convert the 15-storey tower into a luxury hotel as the Singapore-based investment firm assembles a portfolio of Aussie hospitality&#8230;&nbsp;<a href=\"https:\/\/www.mingtiandi.com\/real-estate\/outbound-investment\/indonesias-karim-family-buys-former-bank-of-china-hq-in-sydney-for-34m\/\">Read&nbsp;More>><\/a><\/p>\n","protected":false},"author":12201,"featured_media":357673,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_genesis_hide_title":false,"_genesis_hide_breadcrumbs":false,"_genesis_hide_singular_image":false,"_genesis_hide_footer_widgets":false,"_genesis_custom_body_class":"","_genesis_custom_post_class":"","_genesis_layout":"","footnotes":""},"categories":[842],"tags":[1066,5382,5359,5063,9256,1671,2200],"ppma_author":[8848],"authors":[{"term_id":8848,"user_id":12201,"is_guest":0,"slug":"beatrice-laforga","display_name":"Beatrice Laforga","avatar_url":"https:\/\/secure.gravatar.com\/avatar\/d4be689d8f5a82939d685df6ef171fcb?s=96&d=mm&r=g","user_url":"","last_name":"Laforga","first_name":"Beatrice","description":""}],"_links":{"self":[{"href":"https:\/\/www.mingtiandi.com\/wp-json\/wp\/v2\/posts\/357678"}],"collection":[{"href":"https:\/\/www.mingtiandi.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.mingtiandi.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.mingtiandi.com\/wp-json\/wp\/v2\/users\/12201"}],"replies":[{"embeddable":true,"href":"https:\/\/www.mingtiandi.com\/wp-json\/wp\/v2\/comments?post=357678"}],"version-history":[{"count":0,"href":"https:\/\/www.mingtiandi.com\/wp-json\/wp\/v2\/posts\/357678\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.mingtiandi.com\/wp-json\/wp\/v2\/media\/357673"}],"wp:attachment":[{"href":"https:\/\/www.mingtiandi.com\/wp-json\/wp\/v2\/media?parent=357678"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.mingtiandi.com\/wp-json\/wp\/v2\/categories?post=357678"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.mingtiandi.com\/wp-json\/wp\/v2\/tags?post=357678"},{"taxonomy":"author","embeddable":true,"href":"https:\/\/www.mingtiandi.com\/wp-json\/wp\/v2\/ppma_author?post=357678"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}