Singha Estate has set aside THB 15 billion to use this year for the acquisition of hotels in Thailand and nearby countries, reports local media. The company will also use part of that budget to build 3 luxury residential projects in Bangkok as well as a new office tower.
Chief executive Naris Cheyklin tells the Bangkok Post that THB 9.2 billion will be used for hotel expansion that targets tourist destinations in Thailand, Cambodia, Laos, Myanmar and Vietnam. The company already has a number of existing European hotels in its portfolio including 22 in England.
“The investment this year will be lower than our target of THB 20 billion we plan to spend each year, but higher than last year, when we spent only THB 4 billion due to fewer attractive choices,” says Naris. “Revenue contribution from hotels is currently the largest. After we invest more in office buildings and a new one Singha Complex is completed, revenue from commercial property will increase to 33 per cent, up from 25 per cent at present.”
Singha Estate, which is owned by the family that also owns the Boon Rawd Brewery Co, will spend THB 3.7 billion on its residential development business with both construction and land acquisitions expected.
Launches this year will include The Esse at Singha Complex at the Phetchaburi-Asok Intersection that will have 319 units and be worth THB 4.5 billion. The company also has plans for a condo project near Sukhumvit Soi 36 worth THB 6 billion and a villa project on Pradit Manutham Road.
There are also plans in place for Nirvana Development, one of the company’s subsidiaries, to launch 4 new residential projects worth a combined THB 8 billion this year. The company is moving its focus to the middle-to lower-end market as it conducts a reverse takeover with Daii Group.
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