CAPITALAND Investment’s : 9CI 0% (CLI) wholly-owned lodging business, The Ascott, is acquiring its first lyf-branded co-living property in Sydney, the group said in a press statement on Thursday (Jun 2).

The 197-unit freehold co-living property, to be named lyf Bondi Junction Sydney, is located in Bondi Junction – Sydney’s fifth-largest business district. It is also in the vicinity of Bondi Beach. It will open in 2024 and cater to transient young professionals, business and leisure travellers in the city, Ascott added.

Ascott will make the acquisition through the Ascott Serviced Residence Global Fund (ASRGF), its private equity fund with Qatar Investment Authority. This will bring the number of properties held under the ASRGF to 11, with about 2,200 units.

Mak Hoe Kit, Ascott’s managing director for lodging private equity funds and head of business development, called lyf Bondi Junction Sydney a rare purpose-built asset in a “highly sought-after location for business and tourism”.

“We expect the co-living property to perform well as Sydney boasts a vibrant startup ecosystem and is amongst the top gateway cities globally,” Mak added.

Meanwhile, Ascott has also opened its first lyf property in Australia – the 105-unit lyf Collingwood Melbourne. The co-living property is located near Smith Street and a 10-minute train ride to Melbourne’s Central Business District.

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With the acquisition of lyf Bondi Junction Sydney and the opening of lyf Collingwood Melbourne, Ascott has 18 lyf properties with over 3,400 units across 14 cities in 9 countries, it noted.

Three lyf properties in Bangkok, Kuala Lumpur and Xi’an will open in 2022, while 7 in Beijing, Cebu, Danang, Ho Chi Minh City, Manila, Paris and Sydney will open by 2025. To date, Ascott has opened 8 lyf properties in Australia, China, Singapore, Japan and Thailand.

CLI shares closed 1.3 per cent or S$0.05 lower at S$3.90 on Wednesday.