Blackstone, the New York-based private equity giant, has sold the Sheraton Noosa Resort and Spa in Australia to a group of private investors based in Australia in a deal valued at $110 million.
The 176-suite, five-star resort in Queensland was owned by Valad Property Group, the Sydney-based real estate investment management business, which was bought by Blackstone in 2011 through its Blackstone Real Estate Partners (BREP) VI fund.
Valad had acquired the property reportedly for $93.6 million in 2007, and has since then spent around $10 million in refurbishing it.
Blackstone is currently in the process of offloading part of Valad’s assets under its ownership globally. In October this year, it sold Valad’s portfolio of industrial assets in Australia in a deal valued at A$138 million (€$118.4 million; million). The portfolio of six logistics assets was bought by M&G Real Estate, the real estate investment management arm of UK insurer Prudential, and Propertylink, the Australian logistics property investment management business.
The firm is also on track to selling Valad’s European investment management division called Valad Europe, and it is expected that the transaction will be completed by the end of the year.
This deal also marks the second landmark hotel sale in Australia within the last one month. Last week, China’s Sunshine Insurance Group acquired Sheraton on the Park, a Sydney hotel owned by the Connecticut-based hotel and leisure company, Starwood Hotels and Resorts Worldwide, for A$463 million.
Blackstone declined to comment on the sale.