Thai developers raise Bangkok’s Icon Siam investment to $1.6 bln

Thailand’s Charoen Pokphand Group (CP) and two property firms have raised their investment
in Bangkok’s Icon Siam development to 54 billion baht ($1.6 billion) to expand its shopping malls, an executive said on last Tuesday during an official press.

Despite Thailand’s slowing economy and weak consumption, there had been strong demand for luxury condominiums and retail shops, Chadatip Chutrakul, the riverside project’s director,said.

“We will increase investment by 4 billion baht to expand space,” Chadatip told reporters, adding that the company was targeting demand from domestic travellers and foreign tourists.

CP, controlled by billionaire Dhanin Chearavanont, formed a joint venture with Siam Piwat Co, operator of luxury shopping mall Siam Paragon, and Magnolia Quality Development Corp to develop the luxury mixed-use project.

Half of the budget will come from loans and the group has received financial support from Thai banks such as Kasikornbank, Thanachart Bank and Bank of Ayudhya, she said.

The project, located on the bank of the Chao Phraya River in Bangkok, is expected to open in 2017. It will have two high-end retail complexes, two luxury waterfront condominium blocks and a museum and entertainment centre. Japan’s Takashiyama will open its first store in Thailand in the new centre, she said.