Green Square Hotel
In November 2016, Folkestone entered into a 50/50 joint venture with Furnished Property to develop a 144 room Hotel at Green Square, Sydney.
The site, at 18 O’Riordan Street, Alexandria, is located within the $13 billion, 278 hectare Green Square Urban Regeneration Area (‘GSURA’) and is strategically located approximately 100 metres from the Green Square Train Station. The Sydney Airport Domestic and International Terminals are two and three stops respectively to the south with Central Station, one stop to the north. Green Square is one of the most significant urban transformation programs under construction in Australia, revitalising the industrial edge of Sydney’s inner south into a vibrant global village. Green Square Town Centre, which is the centerpiece of the GSURA, is in close proximity to the proposed hotel.
Folkestone launched the Folkestone Green Square Hotel Fund in November 2017, to raise $23.2 million (closing over-subscribed), which together with construction finance, will fund the development of the hotel on a fund-through basis reducing Folkestone and Furnished Property‘s funds employed to develop the hotel. The Fund will own the hotel long-term.
Construction commenced in the June quarter 2018 with the hotel forecast to open in the October quarter 2019. Veriu Hotels & Suites, a boutique hotel operator, has taken a 10 year lease (with 8 x 5 year options), with a minimum base rent with annual increases, and a turnover rent.
Source: City of Sydney
|Location||18 O’Riordan Street, Alexandria, NSW|
|Number of Rooms||144|
|Hotel Operator / Brand||Veriu Hotels & Suites|
|Folkestone Interest (%)||50 (as developer)|
|JV Partner||Furnished Property|
|Construction Completed||September quarter, 2019|
|10 Year Lease||100% Pre-Leased to Veriu Hotels & Suites|
*As of Completion Date