Ascott Limited, the lodging business unit of CapitaLand Investment (CLI), is targeting to double its fee revenue to over $500 million in the next five years. This is off the back of its FY2022 base of $258 million – the highest earning on record so far. FY2022 saw an impressive 36% y-o-y growth, mainly due to record signings and property openings. Additionally, the business has also achieved its target of securing 160,000 units by 2023.
To further strengthen its product offerings and fee revenue, Ascott will be running its mid to luxury scaled serviced residence, hotel, co-living and senior living brands. A 8%-10% annual net room growth rate over the next five years is expected to bolster fee revenues. Kevin Goh, the CEO of both Ascott and CLI Lodging, is optimistic about the prospects of the business.
“With our asset-light strategy, Ascott has doubled in units every five years, growing …