Frasers Hospitality, the hospitality arm of Frasers Centrepoint, has made further inroads into Europe, opening its first residence in Geneva, Switzerland, as the company continues to place its bets on the continent.
The company has been on a push to extend its footprint in Europe, and its latest move follows openings in Spain and Germany.
In fact, by 2019, close to 40 per cent of the properties it manages will be in Europe, said chief executive officer Choe Peng Sum.
"Establishing our presence here (in Geneva), in one of the world's most important financial centres, is of particular significance to our global growth strategy as it further anchors our footprint, which is now in more than 30 cities, in Europe," he said.
The company will also manage more properties, including ones opening in Germany - in Berlin next year and in Hamburg in 2018.
It said it retains a bullish outlook on Europe, noting that the occupancy rate for the properties it manages there has been more than 80 per cent on average.
Its global portfolio, including those in the pipeline, stands at 136 properties in 78 cities.
The 67-unit Fraser Suites Geneva is situated in the city centre, within the shopping and business district of Rue Du Marche.
It will offer complimentary high-speed Internet access, a 24/7 fully equipped gymnasium, business centre facilities as well as round-the-clock reception and concierge services.
Serviced apartment companies such as Frasers Hospitality and Ascott have been facing structural challenges from social media companies like Airbnb, which allows individuals to rent their homes to travellers.
The companies are not staying still, however. Ascott, for instance, announced a tie-up with online apartment-sharing platform Tujia, the Chinese equivalent of Airbnb, in August last year.
Frasers Centrepoint shares closed up one cent or 0.62 per cent at $1.625 yesterday.
This article was first published on January 14, 2016.
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