Singha township in the works
Developer searching for suitable plot
SET-listed Singha Estate Plc (S) plans to develop a township project with a mixed development of offices, retail and low-rise residential projects worth more than 13 billion baht combined on a 240-rai plot in the Krungthep Kritha area.
Chief executive Naris Cheyklin said the township development needs a large plot of land with many access points.
The development is hoped to have a hospital, an educational institution, a sports complex or hotel in addition to office, retail and residential projects.
"The township project we plan to develop will have middle-to-higher-end residential, office and retail space as there are two international schools and two golf courses nearby," Mr Naris said. "They will complement each other."
The project will be developed by Singha Estate's subsidiary Nirvana Development Co, which last year acquired a 240-rai plot in the Krungthep Kritha area from SET-listed developer Bangkok Land Plc for 3 billion baht.
"The mixed-use development is a global real estate trend that many developers around the world are shifting to," he said. "In some countries, mixed-use projects are combined with the development plan for a new city."
According to the World Bank, there will be more than 50 megacities with populations exceeding 10 million in 2030.
Property consultant CBRE Thailand reported that there will be more than nine mix-used development projects worth a combined over 300 billion baht. Each will have a condominium, a serviced apartment, office buildings, retail space and hotels on a single site.
Singha Estate will launch The Esse at Singha Complex condominium on March 4.
It will comprise a 39-storey building with 319 units sized between 34.75-215.50 square metre and priced 270,000 baht per sq m or from 8.6 million baht a unit. So far it has 45% sold 45% of the units at a soft launch last week.
The condo is located on an 11-rai site on the Asok-Phetchaburi intersection where the Singha Complex mixed-use project comprises a 42-storey office building and a four-storey retail space, which will be completed in 2018.
Singha Estate last year recorded a net profit of 170 million baht on revenue of 3.65 billion baht, up from a net loss of 261 million baht and revenue of 2.31 billion baht in 2015.
Singha Estate plans this year to launch three new residential projects worth a combined 15.5 billion baht.
Singha Estate will also launch a high-end condo project on Sukhumvit Soi 36 worth 6 billion baht in the fourth quarter.
"We will focus on the super-luxury segment while Nirvana, after a merger with MAI-listed homebuilder and precast construction firm Daii Group Plc, will target middle-to lower-end segment and upper-end products," he added.
According to CBRE, the number of condos launched in downtown Bangkok totalled 8,154 units last year, down from 9,161 units in 2015. Of these 11% were in the luxury segment, with no super-luxury units launched last year.
S shares closed yesterday on the Stock Exchange of Thailand at 4.42 baht, down two satang, in trade worth 17.34 million baht.