Singapore-based investment manager Sun Venture has ventured into the hospitality sector by acquiring a 280-key hotel in central London for less than £100 million. The property, previously an office block, was purchased from UK asset manager Resolution Property, signifying Sun Venture’s diversification beyond its traditional focus on office and retail spaces.

The acquisition of Hyatt Place London City East, located in the vibrant East End neighbourhood of Aldgate, was facilitated by JLL and marks a significant addition to Sun Venture’s global holdings. This move comes after the company’s major transaction in 2020, where it acquired 1&2 New Ludgate in London for £552 million, showcasing its ambition to expand its footprint in key global cities.

Esther Siam, Director for Real Estate at Sun Venture, emphasized the firm’s intention to broaden and diversify its real estate portfolio, noting the strength and resilience of the London hotel sector. The acquisition was secured at a notable discount, with Resolution Property initially setting a guide price of £105 million for the hotel, reflecting a strategic purchase at least 4.8 percent below the asking price.

The Hyatt Place London City East, which underwent a significant refurbishment and expansion from a 1980s office building into a modern and sustainable hotel, is strategically located near the Whitechapel Road Life Sciences Cluster. This proximity is expected to further enhance the property’s appeal and performance, benefiting from the ongoing economic development and regeneration efforts in the area.

Managed by European hotel operator Cycas Hospitality, the hotel’s operation is set to continue seamlessly under the new ownership. Sun Venture’s acquisition adds a notable hospitality asset to its portfolio, which now includes several significant properties in the UK capital and beyond, underlining the firm’s growing presence and strategic investment approach in the global real estate market.