Office tower sale to help get Raimon back in the black

SET-listed developer Raimon Land (RML) is anticipating a return to profit next year, driven by the sale of an office tower on Phloenchit Road valued at 14.8 billion baht and the launch of super-luxury houses priced from 880 million baht.
Kris Narongdej, chairman of the company’s board, said the occupancy rate of One City Centre (OCC) office tower is currently 70% and will reach 80% early next year — an ideal level for selling to a real estate investment trust (REIT).
“We plan to generate revenue by selling OCC to a REIT,” he said. “Our new residential projects being launched are also low-rise houses, which help generate revenue more quickly when compared with condos.”
OCC is a Grade A office tower on a six-rai leasehold plot, with a total lettable area of around 61,000 square metres.
It is a joint venture between RML and Mitsubishi Estate, a Japanese developer, with RML holding a 60% stake and Mitsubishi Estate holding 40%.
One of the new low-rise housing projects is The 528 Estate, valued at 4 billion baht, located on Sukhumvit Soi 28 and Sukhumvit Soi 30.
The project will feature only four units, with two units accessible from Sukhumvit Soi 28 and the other two from Sukhumvit Soi 30.
Each unit will comprise seven stories, offering a total usable area ranging from 2,300-2,700 sq m, with prices starting from 880 million baht.
Buyers will have the opportunity to choose luxury crystal items from Baccarat, the renowned French brand known for its luxury crystal glassware.
“Construction will begin next year, proceeding without pre-sales, with completion expected by 2027,” he said.
The company will require a booking fee of 10 million baht to secure a unit. Following that, buyers will need to pay 5% of the unit price to finalise the sale contract.
A down payment of 10% will be due every four months, with the remaining balance due at the time of transfer.
The project will also collaborate with luxury real estate broker List Sotheby’s International Realty Thailand to attract ultra-high-net-worth individuals globally.
Foreign buyers will have the opportunity to purchase a unit, supported by a legal team to assist throughout the process.
Another low-rise project set to launch early next year will feature riverfront super-luxury single-detached houses, valued at 3 billion baht.
RML reported consecutive net losses from 2020 to 2023, ranging between 312 million and 835 million baht.
In the first six months of 2024, the company recorded a net loss of 582 million baht.