Far East Orchard, part of the Far East Organization group, and which owns 33% of Far East Hospitality Trust's manager, announced on June 14 that it has entered into a joint venture with Woh Hup Holdings and Way Assets , to acquire a plot of land at Plot 6 Silverthorne Lane, Bristol to develop a purpose-built student accommodation (PBSA) asset with at least 690 beds.
Far East Orchard will have an effective 42.5% interest in the development and will be required to fund its committed capital of £13.3 million ($22.5 million).
This is Far East Orchard’s fourth investment in Bristol. The city of Bristol is regularly named one of UK’s best cities to live in and is one of the UK’s leading university cities. Bristol is home to two major universities – the University of Bristol (UoB), which is part of the Russell Group and the University of the West of England. The site is located less than 1km from UoB’s new campus, the Temple Quarter Enterprise Campus – an anchor investment in Temple Meads regeneration plans. The development is expected to be fully completed in 2027.
Through its hospitality partnerships with The Straits Trading Company and Toga Group, Far East Orchard’s hospitality arm — Far East Hospitality — now owns more than 10 hospitality assets and manages over 100 properties with more than 18,000 rooms across Australia, Austria, Denmark, Germany, Hungary, Japan, Malaysia, New Zealand, and Singapore. Its stable of 10 complementary hospitality brands are Oasia, Quincy, Rendezvous, Village, Far East Collection, A by Adina, Adina Hotels, Vibe Hotels, Travelodge Hotels and Collection by TFE Hotels. Far East Orchard currently has a PBSA portfolio in the UK comprising more than 3,500 beds in the cities of Brighton, Bristol, Leeds, Liverpool, Newcastle upon Tyne and Sheffield.
As at June 14, Far East Orchard is trading at just 0.47 times its net asset value of $2.27.
