CDL buys South Korea’s Nine Tree Premier Hotel Myeongdong II

The freehold 17-storey property was acquired for $143.9m.

City Developments Limited (CDL) has acquired the Nine Tree Premier Hotel Myeongdong II in Seoul from Shinhan Nine Tree Real Estate Investment Trust, through its subsidiary CDL Hotel (Korea) Limited for $143.9m or $353,000 per key.

In a statement, CDL said the freehold 17-storey upscale hotel offers 408 rooms and is located within the Myeongdong-Euljiro commercial district.

This is CDL Group's second hotel acquisition this year after the proposed purchase of the landmark five-star Sofitel Brisbane Central in March.

CDL Executive Chairman Kwek Leng Beng said the company had been actively seeking new reinvestment opportunities in Korea after it divested the Millennium Hilton Seoul and its adjoining land site in February 2022.

“This acquisition demonstrates our commitment to investing in Korea – one of Asia’s most dynamic economies with strong market fundamentals. We remain focussed on expanding and optimising our hospitality portfolio while strategically acquiring top-quality hospitality assets in key gateway cities to further enhance our recurring income streams.”

CDL entered the Korean hospitality market by acquiring Millennium Hilton Seoul in 1999.