Central Group and Central Pattana plan Bangkok development worth over ฿83 billion
The plan would bring Central Embassy and its planned expansion into one development combining luxury shops, offices and residences.
Central Group and Central Pattana have outlined plans to invest more than ฿83 billion in a Bangkok property development combining Central Embassy with the planned Central Embassy 2. The companies said the scheme would include luxury retail, office space and homes.
A joint venture, to be owned on a 51:49 basis, will oversee the investment. It will buy the entire stake held by a Hongkong Land subsidiary in Central Embassy 2, taking its ownership from 51% to 100%, according to the companies’ joint statement.
The venture will also invest in a leasehold interest lasting 30 years for the current Central Embassy mall. The Park Hyatt Bangkok hotel is excluded from that arrangement.
Together, the properties will have approximately 600,000 square metres of gross building area. The existing mall accounts for 150,000 square metres, while Central Embassy 2, along Wireless Road and Soi Somkid, will account for 450,000 square metres.
The companies reported that Central Embassy’s occupancy has remained above 90%, while annual revenue has grown by more than 10% over the past five years. Luxury brands contribute more than half its rental income.
They said the investment had completed the relevant reviews and approvals, covering valuation, expected returns and corporate governance. Design details and a construction schedule will be disclosed later.
