As part of its target to achieve 10,000 serviced residence units in China by 2010, The Ascott Group has acquired two properties in Shanghai and Xi'an.

Ascott, which is a division of Singapore-based Capitaland, will invest up to US$44.6 million in the two developments which will be operated under the Group's Citadines brand. These acquisitions will increase Ascott's China portfolio by more than 340 serviced residence units to a total of about 4,000 units.

Cameron Ong, Ascott's managing director and CEO, says these new investments further demonstrate Ascott's long-term commitment to China, and the importance of China as a key growth market for Ascott. Ascott is on track to achieving its target of 10,000 serviced residence units in China by 2010.

The Ascott Group is one of the largest international serviced residence owner-operators outside the United States with about 19,000 serviced residence units in key cities of Asia Pacific, Europe and the Gulf region. Ascott's current portfolio in China stands at 20 properties in Beijing, Dalian, Guangzhou, Shanghai, Suzhou, Tianjin, Xi'an and Hong Kong.