SilverNeedle Hospitality, promoted by Infosys co-founder Nadathur S Raghavan, has entered into a pact with Sri Lanka-based Abans Group to develop a mixed use lifestyle centre for more than $100 million.
The companies have entered into a 99-year land lease pact with the Urban Development Authority (UDA) for a land parcel located adjacent to Beira Lake in Colombo.
o3 Capital was the advisor in this transaction.
The lifestyle centre to be developed will include a 200 room NEXT Hotel, a 4 storey lifestyle mall and a 30-storey condominium tower. The development marks the debut of NEXT Hotel brand, owned by SilverNeedle Hospitality, in South Asia.
The first property under NEXT brand is still under development in Brisbane and is slated to be fully operational in 2014.
“We are launching our flagship NEXT Hotels brand in Sri Lanka. South Asia is a strong priority market for SilverNeedle Hospitality and we look forward to entering the market with Abans Group as a partner,” Iqbal Jumabhoy, Managing Director and Group CEO of SilverNeedle Hospitality, said.
NEXT Hotel primarily targets business travellers.
“We will continue to increase our current portfolio in the Asia Pacific region by exploring and converting opportunities that fit our sustainable business model and growth strategy,” Jumabhoy added.
SilverNeedle Hospitality operates 67 properties in Asia Pacific region under various brands including Chifley, Australis and Country Comfort.
Abans is a privately held and diversified conglomerate with around 6,000 employees and revenues of over $250 million.
(Edited by Prem Udayabhanu)