Singapore-based developer Hiap Hoe has acquired the Holiday Inn Express in Trafford City, Mercury Way, Manchester from Topland (No.18), Mill Lane Estates and Marick Capital for about $33.24 million.
The purchase price is equal to its net asset value, after considering a valuation report by an independent professional valuer, trade projections for the hotel and recent transaction costs for other Manchester hotels, The Business Times reported. According to Hiap Hoe, internal resources and debt will fully fund the payment.
The limited service hotel is near the Trafford Shopping Center and EventCity, a large exhibit and conference venue. Tower Hotel Management, a subsidiary of The Peel Group, manages the Holiday Inn Express. The purchase is not expected to have a material impact on the consolidated net tangible assets per share and consolidated earnings per share of the company for the financial year ending Dec. 31, 2017.
In recent years, the developers partnered with Wyndham Hotel Group to construct two other hotels: The Days Hotel and the Ramada in Singapore at Zhongshan Park are on the same site, and opened in May 2013 as part of an integrated development that includes a commercial tower and shopping mall.
Hiap Hoe also developed various residential properties in Singapore, including Treasure on Balmoral, Waterscape at Cavenagh, Skyline 360 ° and the Cuscaden Royale.