CapitaLand Ltd.'s Ascott Ltd. signed franchise agreements with São Paulo-based Vitacon for two serviced residences as part of a planned establishment of a larger portfolio.
Under the deal, Vitacon will franchise and operate the 92-unit Citadines VN Jardins São Paulo and the 122-unit Citadines VN Faria Lima São Paulo. The Jardins serviced residence is scheduled to open in the last quarter of 2017, while the Faria Lima project is expected to launch in 2020.
The proposed bigger portfolio is expected to see the creation of at least 5,000 Citadines-branded units in the city.
Ascott CEO Lee Chee Koon said Ascott's entry into South America is a significant part of the expansion of its global network of properties as the company aims to open 10,000 units in the region.