Japan’s Kyushu Railway Co (JR Kyushu) has acquired a serviced apartment complex in Bangkok for 2.9 billion baht ($90.6 million), marking its first foray into the hotel and serviced apartment business outside Japan.
The project is the first major investment in Thailand by JR Kyushu. After closing the purchase last month, it has rebranded the property as Sharma Lakeview Asoke and appointed Onyx Hospitality Group as the hotel management service provider.
“The Shama Lakeview Asoke Bangkok project is a crucial step as our first business engagement in Southeast Asia,” Toshihiko Aoyagi, president of JR Kyushu, said in the statement.
The 429-key serviced apartment complex is located on Sukhumvit Soi 16 and is a short distance from mass transit and Benjakitti Park and Lake.
The Japanese firm will spend over 100 million baht on renovation and expects to launch the renovated property on April 1. However, parts of the property will undergo refurbishment and enhancements throughout 2018 and 2019.
JR Kyushu has formed two associates, JR Kyushu Capital Management Thailand Co and JR Kyushu Business Development Thailand Co, in Thailand to focus on business potential in Southeast Asia since last year.
Mori Building Real Estate Investment Advisory was the exclusive advisor behind this acquisition and the management deal between JR Kyushu and Onyx.