Frasers Hospitality Group increases its presence of serviced residences in Indonesia.
Serviced apartments or residences are becoming increasingly popular. To keep up with demand Frasers Hospitality Group have added their ninth property in Jakarta. New projects are often attached a hotel brand, and include a hotel, retail and residences. This is exactly what Frasers is achieving with their mixed-use scheme in Jakarta’s Golden Triangle, called Ciputra World 2 Jakarta.
Serviced residences fill the gap between hotels and apartments. They mix elements of both suited to guests who want to stay longer than a few days but not as long as say six months. Hotels boasts convenience of living with services such a cleaners, room service and all utilities included. However often being only one room they are often too small for people looking to stay mid term.
Apartments have the space required and come complete with kitchen and all appliances to make you feel like you are at home, but often without the added perks of services on your doorstep. Landlords request for tenants to commit to at least a six month term. Plus you will need to spend time to source and set up your own utilities such as Internet, electricity and water. In a serviced apartment these are already set up the moment you walk through the door.
Ideal for those staying for an extended period of time, such as a holiday or on business, the number of serviced residences is increasing. This has been driven by landlord looking to diversify their property portfolio but also a response to demand. Many businesses have been tightening their belts and have restricted relocation packages for their employee. Serviced residences provide the ideal solution for ease of convenience. Plus it entails minimal management on behalf of companies letting them out.
Ciputra World 2 Jakarta will have 210 units. This complements Frasers’ portfolio that first became operational in 2011 with the launch of Fraser Residence Sudirman. Followed by two other properties that have all had a healthy occupancy rate of 75 percent. With figures like this it is no wonder that serviced residences are attractive for landlords, whilst users bask in the ease of their convenience.
