Bangkok is set to get a new grade-A mixed office development on the back of continuing improvement in demand for office space in the Thai capital. Situated on Sukhumvit Road opposite the Emporium department store, Bhiraj Tower is a 45-storey building with a total lettable area of approximately 50,000 sqm.
The building has been designed to meet international grade-A standards and will feature a column-free layout offering a 1,500-1,700 sqm floor plate, 2.85-metre ceilings, a modern lobby with double volume ceiling and a state-of-the-art security and access-control system. The tower will also feature a direct covered walkway from Phrom Phong BTS station.
Nithipat Tongpun, Executive Director and Head of Office Services at CBRE Thailand, said Bhiraj Tower is the only new grade-A office development that will be completed in the central business district between now and the end 2014. He added that as of Q2 2012, the supply of grade-A CBD office space in Bangkok totalled 1.22 million sqm while the take-up in the area soared by 10.3 percent year-on-year.
On the rental side, grade-A rents in Bangkok rose for the fourth consecutive quarter, posting a gain of 2.9 percent quarter-on-quarter and 7.9 percent year-on-year, and now are more than the previous peak in 1992. The lack of new supply and rent increasing has meant that office rentals are now rising to a level where it makes for some developers to building new grade-A developments.
Dr. Prasarn Bhiraj Buri, President and CEO of developer Bhiraj Buri Group, said: “We hope that this new landmark will add tremendous value to our community and the Bangkok skyline. With regard to the office market, we see a trend for greater demand for high-quality office spaces and facilities that genuinely support employees’ working environments and lifestyles.”
Construction has started and completion is expected in Q1 of 2014.