Property developer Siamese Asset Co plans to set up a joint venture with Standard Chartered Singapore to develop an office building worth 5 billion baht in the Ram Intra area next year.
Siamese Asset's managing director Kajonsit Singasansern said the Singaporean partner is interested in investing in property overseas, and had previously eyed the Bangkok office market.
"Though Ram Intra is not in the central business district [CBD], it is attractive as an investment because yields are likely to be higher than for offices in the CBD," he said.
"The Pink Line [monorail] from Khae Rai to Min Buri, which will go through Ram Intra, will also be completed by 2020."
Siamese Asset is designing a high-rise office building it will jointly invest in with Standard Chartered Singapore, Mr Kajonsit said. The design will be proposed to the partner next month and they are scheduled to sign a deal later this year.
Construction is scheduled to start next year. The office tower will sit on 15 rai of land located opposite Fashion Island near the Ratchada-Ram Intra intersection. It will have a construction area of around 100,000 square metres.
Siamese Asset is in talks with a Chinese developer and a Chinese agent to jointly develop a health condominium project worth around 3 billion baht on a five-rai plot.
"We will introduce the condominium units to health-conscious buyers who may spend a few months per year at the project for wellness," Mr Kajonsit said. "They can rent out the units and we will manage a rental programme. Investment and overseas buyers are also target buyers."
Siamese Asset will also launch three new condominium projects worth 9 billion baht in 2018. Each will be located on a 2.5-rai plot in three locations it acquired this year for a cumulative 3 billion baht.
Two of them will be located along Sukhumvit Road, on Sukhumvit Soi 16 (worth 4 billion baht, with 350 units priced at 250,000 baht per sq m) and one Sukhumvit Soi 87 (worth 2.1 billion baht, with 300 units priced 150,000 baht per sq m).
The third will be near MRT Ratchadaphisek station, and will be worth 3 billion baht, with 400 units priced 200,000 baht per sq m.
"We will introduce three new condominium projects in China and Mumbai, early next month before launching in Bangkok," Mr Kajonsit said. "We expect to have 50% of units sold for about 4.5 billion baht to foreign buyers by the end of the year."
Indian investors looking for overseas property investments to diversify risks are relatively new to the Bangkok real estate market.
Like the Chinese, Indians target a rental yield of 5% per year, higher than in their home country, where they can only derive 3-4%.
"The Bangkok condominium market is healthy and attractive for investment, as its resale market is more active than other Southeast Asian cities," Mr Kajonsit said.
Next month, Siamese Asset will launch its Siamese Kin housing project, which will contain 107 units of single houses and townhouses on a 23-rai plot in the Ram Intra area. The company will co-develop the project, worth 1 billion baht, with modular home manufacturer Sekisui-SCG Industry Co.
