Ritz adds Perth to its hotel portfolio

One of the world's most exclusive hotel brands, Ritz-Carlton, is poised to sign agreements to operate a hotel in Perth, with Hong Kong developer Far East Consortium expected to undertake a $450 million new build of a hotel and apartments at Elizabeth Quay.

Ritz-Carlton, which has flagged plans to add 20 hotels to its global portfolio in the next three years, has signed a deal to operate the hotel at one of Perth's most significant new projects in the southern end of the city, according to market sources.

It is understood Far East had selected sites 9 and 10 at Elizabeth Quay for the 250-room hotel and 350 luxury apartments in a deal negotiated by Jones Lang LaSalle senior vice-president, Aaron Desange. Mr Desange declined to comment last night.

The West Australian government has been seeking expressions of interest from property developers all year and The Australian flagged the pair's interest in the hotel and apartment sites in the $2.6 billion Elizabeth Quay project in June.

Far East Consortium is also active in Melbourne, where it is developing a number of towers, including the Upper West Side project, encompassing about 2600 apartments.

But sources said Ritz-Carlton may have missed the best of the mining boom, with Perth hoteliers reporting a 25 per cent slump in hotel occupancy in recent months.

Perth has two other luxury properties, Crown's Burswood and an Aman property that is presently under construction.

Source: The Australian, 3 October 2013