Roxy-Pacific buys 5-star Maldives resort for $43m

The Zitahli Kuda-Funafaru Resort and Spa located in Noonu Atoll, Maldives, comprises 50 villas, four food and beverage outlets, a full-service spa, an oceanfront pool, and diving and fitness centres.
The Zitahli Kuda-Funafaru Resort and Spa located in Noonu Atoll, Maldives, comprises 50 villas, four food and beverage outlets, a full-service spa, an oceanfront pool, and diving and fitness centres.PHOTO: JLL HOTELS & HOSPITALITY GROUP

A unit of Roxy-Pacific Holdings is buying a five-star Maldives resort for US$31 million (S$43 million).

Roxy-Pacific, which has made a number of overseas acquisitions through various subsidiaries in recent months, clinched the deal in a competitive process involving groups in China, Thailand, Australia, Britain and the United Arab Emirates, said consultancy JLL Hotels and Hospitality Group yesterday.

It is the company's first purchase in the Maldives.

The Zitahli Kuda-Funafaru Resort and Spa at Noonu Atoll comprises 50 villas, four food and beverage outlets, a full-service spa, an oceanfront pool, and diving and fitness centres.

JLL, the exclusive adviser for the sale, describes the hotel as a "luxury resort in one of the world's most coveted tourist destinations".

"With its investor-friendly policies and robust trading fundamentals, we are seeing a surge in investor interest in Maldives resort assets," said Mr Nihat Ercan, executive vice-president of JLL Hotels and Hospitality Group, Asia.

He said that visitor arrivals in the Maldives rose at a compounded annual growth rate of about 12 per cent in the past decade, with a record 1.23 million visitors last year.

Chinese tourists led the way, accounting for 29 per cent of visitor arrivals, while Italy, Britain and Germany are also major sources of customers, he added.

The purchase by the unit, Roxy Hotels and Resorts, will be financed by internal funds and bank borrowings, where appropriate, Roxy-Pacific said last week.

The firm has been on a buying spree of late.

In December last year, it announced the purchase of a development property in Sydney for A$27.5 million (S$27 million) and the acquisition of a 14-storey commercial building, also in Sydney, for A$81 million.

A version of this article appeared in the print edition of The Straits Times on February 12, 2016, with the headline 'Roxy-Pacific buys 5-star Maldives resort for $43m'. Print Edition | Subscribe