With branded residences emerging as a new incentive to lure property buyers, hotel and resort operator Banyan Tree Holdings has launched a property arm, Banyan Tree Residences, to sell properties under its management.
The concept of Banyan Tree Residences was to allow investors to buy their own villa, townhouse or apartment, and receive an annual guaranteed return of 6 per cent per annum for six years, the company said.
Investors would have options to renew or share in revenues generated by the property.
'Banyan Tree Residences enables investors to diversify their portfolios without worrying about managing the property when they're not there,' said Richard Skene, an assistant vice-president at Banyan Tree Residences.
Property consultants said it had emerged as a new trend as upmarket hotel or resort operators get involved in luxury property management.
The strength of branded properties provided buyers with confidence in the quality of the development, services and management, the consultants said.
Earlier, Indonesian conglomerate Salim Group teamed up with Palmerston Hotels & Resorts to manage its luxury property Residence 8 in Shanghai.