TCC Land Asset World revealed that it intends to invest more than THB74 billion between now and 2022 to develop new hotels throughout Thailand. The company will suspend residential investment and limit retail investment in the short term to focus on its aggressive hospitality expansion plans.
The reason behind TCC Land’s plans to invest in the hospitality market according to chief executive officer Soammapat Traisorat is that the developer foresees Thailand becoming more of a regional travel hub now that the Asean Economic Community (AEC) is in effect. This is especially true for meetings, incentives, conferences and exhibitions (the MICE market).
Up to THB14.2 billion of the company’s investment budget will be spent to develop four new hotels that will be managed by Marriott International Group. THB60 billion is going towards the development of 10 hotels situated in Thailand that will be managed by other chains, deputy CEO Wallapa Traisorat explained.
The first of the four Marriott hotels will open next year and be located on Surawong Road. In 2019, the company will open another Marriott property situated along the Chao Phraya riverfront. There are also plans for a Marriott in Pattaya and one in Bangkok’s Lumpini area as well with these scheduled to open some time in 2020.
Plans for the other 10 hotels have not been finalized by TCC Land but theses will be located in Thailand, Wallapa told local media. TCC Land Asset World currently manages 40 hotels in Thailand as well as in seven other countries. It hopes to have 43 hotels with 10,000 rooms by the end of 2016.
However, in order to execute these plans, the company is suspending expansion in the residential market, and will invest less in retail properties as the availability of prime land continues to dwindle. This will allow the company to focus its time and resources on the hospitality business.
Image: Plaza Athenee Bangkok, A Royal Meridien Hotel – one of the hotels developed by TCC Land
