Australia's largest hotel owner, Tourism Asset Holdings Limited (TAHL), has been purchased by the Abu Dhabi Investment Authority for $800 million amid growing foreign investor interest in Australia's hotel sector, according to The Australian.
The possibility of a deal first surfaced in July when the Abu Dhabi fund was reportedly among several foreign suitors interested in the portfolio.
The lower Australian dollar and a shortage of rooms in major cities has helped fuel interest in the local hotel sector.
Among TAHL's major properties are Novotel and Ibis Darling Harbour in central Sydney, Novotel and Ibis at Sydney Olympic Park and Novotel Canberra.
French hotel chain Accor will continue to operate the portfolio, The Australian added.
“We chose to run a discreet, targeted sale process and we were very pleased with the response we received, which is a testament to the strength and performance of the underlying portfolio,” TAHL chief executive Matthew Eady said, according to The Australian.