Global real estate fund and asset manager, Pro-invest Group, has completed the acquisition of 575 Flinders Lane in Melbourne, Australia. Currently operating as a Holiday Inn, the 209-room hotel was purchased from Carter Group which owned the property for more than a decade.

Respected New Zealand property investor Carter Group sold the hotel as part of a broader partnership between the two companies.

In addition to selling this prime real estate asset to Pro-invest Asia Pacific Hospitality Opportunity Fund III, Carter Group has also entered as a significant investor in the fund itself. This provides Carter Group with access to a wider geographic spread of hotel real estate across Australia and Asia Pacific.

Pro-invest Fund III is a AUD$500 million value-add fund being raised to focus on hotel opportunities in gateway cities across Australia and broader Asia Pacific. The Flinders Lane deal is the second asset acquisition by the fund, following the purchase of The Sebel Canberra Campbell in May 2022.

The hotel will undergo an AUD$20 million renovation and is set to open as Hotel Indigo Melbourne on Flinders (an IHG Hotels & Resorts brand) in mid-2023. As part of the upgrade and repositioning, the hotel will also gain an additional seven guestrooms (to total 216) and Spanish themed tapas restaurant and bar called Beso. This will be the sixth hotel (1,500+ rooms) Pro-invests operates in the city.

You can read the full press release now at the link below