Hermes-Sojitz Representative Office in Russia has completed a major transaction on buying a property in Thailand and begins construction of a premium class tourist complex. Project investments amount to EUR 60 mln.
In March 2017, Oleg Yantovsky, Head of Hermes-Sojitz Representative Office in Russia, on behalf of the fund completed the transaction on buying a land lot with a total area of 25 ha in Thailand. The next step will be construction of a 5-star hotel complex with marina for yachts that will meet the world service standards.
According to Oleg Yantovsky, the project will be completed within three years. The amount of investments in the premium class tourist complex is expected to be EUR 60 mln.
Head of Hermes-Sojitz Representative Office in Russia informs: “Since the end of 2015–2016, Thailand has been demonstrating a stable improvement of market indicators in the sector of real estate, in particularly, in its premium class segment that directly influences the investment appeal of the region. In 2017, more than 1,400 deluxe facilities are to be commissioned that is twice as high as compared to the 2016 indicators and five times as high as compared to the indicators of the last four years.” Oleg Yantovsky also said that the situation in the market of Thailand is as follows: notwithstanding a limited supply, there is an active demand for expensive projects, thus, a high yield of the investment projects can be predicted.
Apart from economic factors, there are also another advantages of this region that are highlighted by the Hermes-Sojitz Fund. Among these are year-round popularity of Thailand as the resort that does not depend on the season, streamlined air travel, and a well-developed infrastructure being a prerequisite for successful implementation of such project and investment raising.
Development of projects in the area of residential and commercial property is one of the key activities of the Hermes-Sojitz International Direct Investment Fund. Different countries of Europe, Africa, and Asia come into the view of the company. The fund regularly investigates new promising markets that can get international investors’ interest. In 2017, Thailand became one of such promising markets. It should be noted, that this region yearly demonstrates more stable tourist indicators notwithstanding foreign policy and economic factors.