KUALA LUMPUR, MALAYSIA - Media OutReach - April 9, 2018 - Cornerstone Partners Group acquires a 10% stake in luxurious coworking space Colony. The deal values the Company started by prominent entrepreneur Timothy Tiah between US$15-US$20 million, representing 4X return for its early investors. The 8-month old company has raised a total of US$5 million to date and is looking to open more locations in Kuala Lumpur this year after having its first location at Jalan Kia Peng turn profitable in its first 3 months.
Cornerstone Partners Group which owns hotel assets around Asia including the DoubleTree Resort by Hilton in Penang, the Kimpton in Taipei and the upcoming citizenM in KL City Centre sees potential synergies with Colony and the hospitality industry. One such possibility is building a Colony in each hotel location to replace the traditionally low-yield business centre hotels have.
According to Knight Frank Malaysia's 2017 Round-up and 2018 Outlook, demand for serviced offices and co-working spaces are projected to grow across an eclectic mix of industries and professions as they search for contemporary work environments. While the trend is popular among small-medium enterprises, more corporate blue-chip companies have also started to provide flexible working locations. Colony's clients include Dell, Petronas, Maybank, Microsoft and more.
Colony officially launched in late July 2017 at its KLCC location on Jalan Kia Peng. Its membership options include reserved desks, hot desks, private suites, and prepaid passes along with exclusive amenities such as nap rooms, massage room, rooftop gym/swimming pool access, and in-house Espressolab coffee. The company is determined to further establish presence in the co-working scene by executing an array of expansion plans, starting with the opening of its second location at KL Eco City in June this year. Aside from supporting new development plans and renovation costs, Colony intends to capitalise on the funding raised to expand more locations and invest in talent.
"Our investment in Colony signifies our confidence in Timothy's leadership and Colony's potential. We were amazed at how Colony was able to take the coworking space model that was largely unprofitable to one that is as lucrative as Colony is today," said Jason Chong, CEO and co-founder of Cornerstone Partners Group.
"I'm honoured to have Cornerstone Partners Group as an investor and valued partner in Colony to help us take this to the next level. We will continue to invest in our vision of creating the Ritz Carlton of the workspace." -- Timothy Tiah, Executive Director and Co-founder of Colony.
Colony is a luxurious serviced office and co-working space provider based in the heart of Kuala Lumpur with plans and pricing curated to eliminate hefty set-up costs, maintenance hassle, and long-term rental contracts. Raved for its chic and Instagram-worthy interior, the company aims to enable guests to focus on their life's work and reach new heights while all else is taken care of. The company is backed by Oak Drive Ventures and family offices around the region.
About Cornerstone Partners Group
Cornerstone Partners Group is helmed by Jason Chong & Louis Voon. The company's dynamic team of experts own a myriad of portfolios in hospitality assets in Asia, offering services and solutions that truly innovates the value of the hotel/resort.
12 April 2023
03 February 2023