A high-profile property transaction in Asia throws light on the continued vibrancy of the market in some areas - despite some mixed data that has emerged in recent weeks.

Asia-based Royal Group, the property developer and investment house, has entered a sales and purchase deal with listed asset management giant BlackRock to acquire the Malaysian DoubleTree by Kuala Lumpur hotel complex for RM388 million (around $107 million), highlighting what is seen as growth potential in the Asian country.

BlackRock had held the property in a real estate fund. The transaction is subject to regulatory approval.

The deal suggests that while Asian property markets have experienced mixed fortunes in recent years, there remains considerable interest in high-profile properties. Asian investors have also been traditionally enthusiastic holders of real estate in wealth management portfolios.

Investment in global real estate saw its first drop in five years in 2014, falling by 6.3 per cent to $1.21 trillion, while the Asia-Pacific region saw a sharper decline, with a drop of 23.6 per cent in domestic investment in real estate. However, the region ended 2014 on a positive note, with volumes rising in the fourth quarter for the first time in a year, according to research published today by global real estate advisor Cushman & Wakefield.

Royal Group said the acquisition reinforces its “regional strategic expansion” into the hospitality sector; as a result of the deal, it will manage a mix of properties in Singapore, Malaysia and Australia, made up of residential, industrial, office, retail and hotel properties.

The deal comes after the firm appointed Peter Wilding to the post of managing director in February, taking up the regional portfolio. For the previous year, he had been managing director of the group’s Australia office and properties.

Royal Group is privately held by Asok Kumar Hiranandani.