Regal REIT has been formed to own an investment portfolio of hotel properties initially in Hong Kong. The REIT Manager believes the formation of Regal REIT follows a global trend to separate hotel ownership from hotel operation, allowing the hotel manager to focus on hotel operation and brand extension, and the REIT manager to focus on asset ownership and growth opportunities.
Regal REIT’s primary objectives are to provide stable distributions to unitholders and to achieve long-term capital growth in net asset value per unit. The REIT Manager intends to achieve such objectives by way of:
internal growth through asset enhancement opportunities and operational improvements;
external growth through potential acquisitions that meet the REIT Manager’s investment criteria; and
financing through an appropriate capital structure.
Regal REIT (a Hong Kong collective investment scheme authorized under section 104
of the Securities and Futures Ordinance (Chapter 571 of the Laws of Hong Kong))