Grand Canal Land PCL (GLAND), one of the leading real estate developers in Thailand, announced to invest 18 billion Baht ($562 million) in building the tallest tower in the Southeast Asia.
The project called ‘Super Tower’ is designed to be a mixed-use building with 125 storeys and be 615 meters tall, which will beat the 452-meters tall Petronas Tower in Malaysia and become the highest tower in ASEAN and one of top ten tallest towers in the world.
“This project will become a new landmark for Thailand as well as the regional business center and the world-class tourism attraction,” said GLAND’s chairman and CEO Yotin Boondicharoen.
Super Tower will be located on 73 rai of land at the Rama IX intersection, which is the area of offices and condominiums in Bangkok. It expects to commence the construction next year and take six years to complete.
Of total construction area of 320,000 square meters, it will combine the rental space for offices, convention rooms, six-star hotel with 260 rooms, restaurants and the view point on the rooftop.
With a cooperation of SKIDMORE, OWINGS & MERRILL LLP Compnay, one of the world’s leading design and construction firm, this tower will be designed to be an energy-saving building which meets the LEED Standard in the United States.
Yotin believes that it can reach the breakeven within 12 years after it starts the operation.
“We decide to make such a huge investment because we are confident in the government’s policy focusing on boosting the country’s economy,” he said. “It is a good timing because the Asean Economic Community is going to launch in the end of next year and Thailand will become the regional hub for investment.”
He said that 60% of the investment will borrow from financial institutes and the rest 40% from the company’s revenue generated by other of its property projects including Belle Grand Rama IX Condominiums and office and space rental fee including Central Plaza Grand Rama IX, worth more than 100 billion baht ($3.125 billion).
According to Yotin, GLAND is launching three new projects, worth 18 billion baht ($562 million) in 2015. Of total, the first project is worth six billion baht which will be 17 buildings of condominium near Miracle Hotel. The selling price is 70,000 baht per square meter.
Another project is a housing estate, Grand Canal Don Mueang Phase 2, on 100 rai of land worth two billion baht ($62.5 million). The rest 10 billion baht ($312 million) will come from developing 6-7 buildings of condominium next to Grand Canal Don Muaeng Phrase 2, on 30 rai of land. All three projects are on the design process and no other detail is disclosed.
Last week the company’s committee has approved to issue the debenture worth four billion baht ($125 million) in order to support the company’s investment plan in the future.