Dusit Thani has started marketing its luxury residential skyscraper in central Bangkok to wealthy international buyers in Singapore as the company turns to property development to shore up its profits amid Covid-19-induced losses in its hotel activity.
The 69-story residential tower, which includes the 160 upscale Dusit Residences units and the 246 Dusit Parkside units, is part of the Dusit Central Park project, a mixed-use development with hotel, office, residential and retail components at the detail. built on the site of the former Dusit Thani Bangkok hotel.
The 46 billion baht ($1.4 billion) project is jointly owned by Dusit Thani and its partner Central Pattana, the mall developer controlled by the Chirathivat family, one of Thailand’s wealthiest families. The Dusit Central Park residential skyscraper is scheduled for completion in 2025, with retail, hotel and office components opening in phases in 2024.
Despite the disruption caused by the pandemic, around 40% of luxury apartments in Dusit Central Park have been sold to wealthy Thai investors, said La-ead Kovavisaruch, chief investment officer of Dusit Thani. Forbes Asia in Singapore, where the company recently pitched the project to nearly 40 wealthy investors.
“We are delighted to know that a third (of potential Singapore buyers) have shown keen interest in the project and a few of them have already planned a trip to Bangkok in late April and June to see the aftermath of exhibition,” La-ead said. .
Singapore is a fitting first stop for Dusit Central Park’s international roadshow to market high-end condominiums to the affluent. The number of ultra-high net worth investors – those with at least $30 million – in the City of the Lion rose 158% to 4,206 in the five years to 2021, according to real estate consultancy Knight Frank. Besides Singapore, the company will also market the project to potential buyers in Hong Kong and the Middle East, aiming to sell around 35% of the residential project to foreigners.
La-ead and his team made the trip to Singapore as soon as the government lifted travel restrictions to the city-state, hoping to entice Singaporeans to buy a luxury condominium in Bangkok at a fraction of the price high-end apartments in Asia. financial center, which is among the most expensive real estate markets in the world. The team had planned to visit Hong Kong this month, but the trip was postponed as the city introduced Covid-19 travel restrictions following a further rise in Covid-19 infections.
Dusit Thani is selling the project at an average price of 340,000 baht per square meter, with the one-bedroom unit (about 55 square meters) at Dusit Parkside selling for 16 million baht and a two-bedroom unit (about 120 square meters ) to Dusit Residences sold for 40 million baht. One of Dusit Residences’ penthouse units has been sold to a Thai buyer for around $6 million, a fraction of the $35 million paid by the buyer of the sole penthouse at CanningHill Piers, a mixed-use project that City Developments and CapitaLand are jointly developing along the Singapore River in Singapore’s central business district.
While some Thai developers have delayed the launch of their residential projects due to the pandemic, Dusit Thani has launched marketing efforts for Dusit Central Park with Thai investors even as the country battles a resurgence in Covid-19 infections. and that the real estate sector was struggling with rising inventories of unsold goods.
“With a property development like this, thoughtful consideration is at the heart of every buying decision and potential buyers like to draw comparisons with other projects,” La-ead said. “It is our team’s duty to communicate interesting facts about the project to those interested so that they understand the value and type of exceptional residential experience that Dusit Central Park has to offer.”
Dusit Central Park sales are providing Dusit Thani with additional revenue at a time when the hotel business is not doing well due to the pandemic, La-ead said. The hospitality industry is one of the hardest hit by the pandemic, with cities around the world closing their international borders to curb the spread of the Covid-19 virus.
Dusit Thani, which owns and manages 320 hotels and resorts in 16 countries, recorded a net loss of 945 million baht in 2021 after recording a net loss of 1 billion baht the previous year. “But hopefully it will come back this year,” La-ead said.