SET-listed Singha Estate Plc (S) has teamed up with the Hongkong Land Group to develop a super-luxurious condominium project in Bangkok.
According to a company's statement, Singha signed a shareholder agreement last Friday to form a joint venture, S36 Property Company Ltd.
Under the terms of the shareholder agreement, Singha Estate and Hongkong Land will hold 51% and 49% of the joint venture, respectively. Singha Estate will also provide its expertise to oversee the development under a master service agreement, also signed on Friday.
Hongkong Land, meanwhile, will contribute a wealth of experience in designing and developing the project to a world-class standard.
The project is at the corner of Sukhumvit 36 next to Thong Lor skytrain station and will consist of a 40-storey residential tower with about 400 units on two rai of land. The estimated project value is 6 billion (US$170 million).
According to Robert Wong, chief executive of Hongkong Land, the development is the group's first residential project in Bangkok and is expected to pave the way for future opportunities with its Thai partner.
Naris Cheyklin, chief executive of Singha Estate, said the company is proud to co-develop a condo project with such a renowned Asian developer.
"We hope that this is the beginning of a long-lasting relationship," he said.
Singha Estate said recently it will spend at least 15 billion baht this year to acquire hotels in Thailand and neighbouring countries, launch three luxury residential projects in Bangkok and develop a new office tower.
The company will also spend 3.7 billion baht in the residential development business. It will launch three new luxury projects worth a combined 15.5 billion baht this year.
They will comprise The Esse at Singha Complex with 319 units worth 4.5 billion baht at the Phetchaburi-Asok intersection, a condo project on a 2.5-rai plot near Sukhumvit Soi 36 worth 6 billion and 24 villas priced 150-200 million on Pradit Manutham Road.
Singha Estate expects to have 6 billion baht in presales by the end of the year, up from 1.16 billion last year.
S shares closed yesterday on the Stock Exchange of Thailand at 4.60 baht, down 10 satang, in trade worth 45.3 million baht.
No comments:
Post a Comment