Malaysia's Tune Hotels nabs Melbourne site

Tune Melbourne

Malaysian group Tune Hotels has secured a site in one of Melbourne's fastest growing central business district pockets for $18.5 million.

CBRE's Josh Rutman, who negotiated the sale of the property along with Mark Wizel and Paul Tzamalis, said the site was “hotly contested” from both domestic and offshore groups during the sales process, with significant interest from a number of Chinese and Malaysian groups. 

Tune Hotels CEO Mark Lankester said the group wanted to make its debut in the Melbourne market. "Australia has, for a long time, been a country that we see strong growth prospects for and we are delighted to continue investing in those prospects," he said in a statement. "Melbourne is a city that we are very familiar with and the opportunity for the hotel accommodation market, coupled with strong overall visitor growth, ticks all the boxes for us."

FREE DAILY NEWSLETTER

Like this story? Subscribe to IHIF!

The hospitality industry turns to IHIF International Hotel Investment News as the must-read source for investment and development coverage worldwide. Sign up today to get inside the deal with the latest transactions, openings, financing, and more delivered to your inbox and read on the go.

An evergreen investment destination, Melbourne has attracted several planned projects so far this year. The Four Points by Sheraton Docklands is slated to open at the end of this year, and a new 331-room, $300-million hotel is planned for the expanding Melbourne Convention and Exhibition Centre. (No branded partner for the hotel has been named as of yet.) In February, Peppers Docklands opened as the first of Mantra Group’s Peppers properties in the city’s central business district as part of Capital Alliance Investment Group’s $100-million M Docklands development.

Suggested Articles

The three stages of development in Europe’s pipeline are experiencing double-digit increases year over year and are at or near record highs.

The Hyatt Centric Reykjavík will not only be the first Hyatt-branded hotel in Iceland, but will be the company's debut the Nordic region as a whole.

The new Radisson Blu Resort Cam Ranh in Khanh Hoa province has 292 rooms, suites and pool villas.