CPN set to develop four plots
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CPN set to develop four plots

SET-listed Central Pattana Plc (CPN), a property and retail developer, is looking to develop several mixed-use projects and residential projects on four land plots formerly owned by Grand Canal Land after acquiring them three years ago.

A digital rendition of Central Ayutthaya which is expected to open by year end.

Ponpinit Upathamp, CPN's head of investor relations, said two of the plots had the potential for mixed-use development, comprising a 48-rai plot on Phahon Yothin Road, 500 metres from Central Ladprao.

Another mixed-use project will be on a 23-rai plot of land on Rama IX Road next to Central Plaza Grand Rama 9 where Grand Canal Land earlier planned to develop The Super Tower -- a 125-storey building with a height of 615 metres.

"We will switch to mixed-use development to synergise our properties and land available for new developments for long-term returns as the previous plan would unlikely generate a good return," he said.

"We are confident that the economy will recover in the second half of 2021," he said. "Demand for low-rise houses remains robust. Our revenue from the residential development business this year will likely grow compared to last year."

In the first quarter of 2021, CPN recorded 358 million baht in revenue from residential developments, up 10% from the same period last year, driven by low-rise houses and condo projects near shopping malls.

CPN plans to launch five new residential projects this year, comprising the Don Mueang project and three mixed-use projects each in Ayutthaya, Chanthaburi and Si Racha.

The mixed-use projects in the three destinations will see an investment of 13.9 billion baht and comprise of shopping malls or hotels and residential projects.

Between 2021-25, CPN plans to spend a total of 13.9 billion baht to develop a mixed-use project on a 23-rai plot on Wireless Road where the former UK Embassy was located.

The project will comprise two 36-storey office towers with a total lettable area of 140,000 square metres and an eight-storey building with a lettable area of 70,000 sq m for retail spaces.

In 2018, Central and Hongkong Land Co (CHKL) bought the plot from the UK Embassy as the biggest land deal with a price of 18.6 billion baht (£420 million).

CHKL is a joint venture between CE Holding, one of Central Group's units, and HKL (Thai Developments) Co, a unit of Hong Kong investment group - Hongkong Land, which hold 51% and 49%, respectively.

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