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Ascott acquires £52m Islington apartment scheme near Facebook and Google base

Singaporean serviced apartment provider Ascott has acquired a £52m apartment scheme at Islington Square.

The scheme, which will be known as Citadines Islington London, is to consist of 108 serviced apartments located on the upper floors of the former home of the Royal Mail North London mail centre.

The site has been developed as a joint venture between property developers Sager Group and investment company Cain Hoy, with the £450m transformation of the Edwardian building providing 263 new homes and 170,000 sq ft of retail and leisure facilities, a stone’s throw from the UK headquarters of the likes of Google, Facebook and Amazon.

Cash for the acquisition has come from the £420m global serviced apartment investment fund that Ascott set up with the Qatar Investment Authority (QIA) last year, which has already saw investments in similar schemes in Paris and Tokyo.

Mr Lee Chee Koon, Ascott’s Chief Executive Officer, said: “Ascott’s fund with QIA provides the financial boost to support our acquisitions and growth as Ascott gears up to achieve our global target of 80,000 apartment units by 2020. Making our third acquisition within five months is a testament to Ascott’s strong alignment of interest with our capital partners.

“The addition of Citadines Islington London will strengthen Ascott’s position as one of the largest international serviced residence operators in Europe, with assets of over S$1.5 billion (approx. £765m). Our portfolio in the region will increase to more than 5,300 units in 45 properties across France, United Kingdom, Belgium, Germany, Georgia and Spain. We aim to double our portfolio in Europe to 10,000 units by 2020.”

Giris Rabinovitch, CEO of Sager Group added: “We are delighted to have completed the deal with Ascott to bring their Citadines brand to Islington Square. The serviced apartments are perfectly located for business visitors and tourists alike.

“Users will be well served by public transport, with the apartments located between Angel Underground and Highbury & Islington Station, with bus services to The City and West End.”