Folkestone’s (ASX:FLK) real estate management subsidiary has announced the acquisition of the Mercure Sydney international airport hotel.
The cash consideration for the transaction is $76.4 million, excluding transaction costs.
The 271-room hotel is operated by the Accor group under their Mercure brand.
It is located a kilometre from Sydney’s international airport terminal and 3 kilometres from the domestic terminal, 9 kilometres from Sydney’s CBD.
Folkestone plans to undertake extensive refurbishment of the hotel.
Shares in Folkestone’s (ASX:FLK) last traded at $1.15.