Plans by Crown Resorts to spin-off of five hotels into a new trust could create a listed vehicle holding about $2 billion worth of property and offer investors exposure to the strongly-performing luxury hotel market.

Inside the proposed new-A-REIT will go five freehold Crown hotels in Perth and Melbourne with just over 2300 rooms, all leased back to the casino operator on long-term deals. Based on recent hotel transactions, the trust could deliver an attractive yield of between 5.6 and 6.5 per cent.