Thailand's leading real estate agent

Shake Up in Market Benefits Strong Firms

By on Sep 27, 2018 in Property News

Shake Up in Market Benefits Strong Firms

As real estate players enter the last quarter of the year, the big winners appear to be Raimon Land, Ananda Development Central Pattana and Kingpower.

CBRE managing director Aliwassa Pathnadabutr says the year thus far has seen a wave of huge “mergers and acquisitions” as strong players buy assets and stakes of competing firms.

Raimon Land’s acquisition of prime land and completed condos from KPN Land will inject cash and land worth Bt7.7 billion into the firn.

Raimon Land CEO Adrian Lee says KPN Land will also become a shareholder in the exchange, giving them a 14-per -cent stake. That would add stability to the firn, he adds..

For Ananda Development, the year could see a record windfall in earnings. The company had targeted Bt38 billion in revenue as its goal.

“At present rate of title transfers is more than 150 per cent above last year’s. We hope to breach ourtarget. That could rank us among the top three property firms in terms of revenue, “says CEO Chanond Ruangkritya.

Ananda remains the top condo builder with a joint venture with Japan’s Mitsui Fudosan . Since their pact in 2013, they have embarked on 27 prime projects worth more than Bt114 billion.

In another development, Central Pattana bought a 50per cent stake in listed Grand Canal Land (GLAND). The stake was reportedly worth more than Bt10 billion.

Earlier on, Pace Development concluded a deal to sell assets worth Bt14 billion to Kingpower.

As the Bangkok property market consolidates, Aliwassa says the successful mergers and acquisitions have spared the market a hard landing.

The Thai banking and financial authorities have learned from the 1997 Tom Yum Kung crisis to cool overheating and over leveraging, she adds.

Another key development that should boost the real estate sector is the opening of the Icon Siam residential-retail complex on the Chao Phraya riverfront.

Worth more than Bt50 billion, the nega site is expected to become a prestigious landmark for the capital.

Source: The Nation – 27 September 2018

Nora has been in the Corporate Communications arena for a number of years. Nora's role is to communicate all newsworthy items that are of a PR nature.

No comment


emailSubscribe Via Email

Privacy guaranteed. We will not share your information.

Follow Me on Twitter

Follow Me on Facebook

Subscribe via RSS Feed

Copyright © 2021 CBRE (Thailand) Co., Ltd. All Rights Reserved.