By Dominic Welling
Overseas Union Enterprises (OUE) has announced plans to acquire the Crowne Plaza Hotel at Changi Airport for $235 million.
The property and hospitality firm will buy LC Airport Hotel - which owns the 320-room hotel - for $180million. In addition OUE will settle a shareholder loan as well as a debt of $55 million.
LC Airport Hotel - which is jointly owned by LC Development and LaSalle Investment Management (LIM), a subsidiary of Jones Lang LaSalle - had put the hotel up for sale earlier in April after LIM decided to sell off its stake.
The nine-storey Crowne Plaza Hotel was built less than three years ago at a cost of $72 million.
Connected to the airport's Terminal 3, the hotel is primarily aimed at corporate travellers and people on short stop-overs.
The OUE said the proposed acquisition would be funded by its existing cash resources as well as banking and debt facilities.
