Frasers Property Commercial Asset Management (Thailand) Co., Ltd., or "FPCAMT," as the REIT manager of the Golden Ventures Leasehold Real Estate Investment Trust or "GVREIT," announced its results for the third quarter of its 2024 fiscal year (April - June 2024), with the revenue amounting to THB 286.11 million, increased 1.49% compared to the previous quarter. GVREIT will pay a quarterly distribution at a rate of THB 0.1963 per unit, totaling THB 159.95 million, scheduled for 12 September 2024.
Mr. Thanarat Boonyakosol, Managing Director of FPCAMT, stated that the overall office market in the first quarter of 2024 has an increase in supply of approximately 9.6 million sqm in Bangkok, which includes the One Bangkok Tower 4 project with a space of 96,302 sqm (source: CBRE). Meanwhile, the net office space absorption was negative at 13,761 sqm, primarily due to major tenants relocating to their own buildings. The new supply under construction totals 830,836 sqm, including approximately 280,000 sqm of Grade A office space in the central business district expected to be completed within this year.
However, despite the substantial increase in supply amidst intense market competition, the trust demonstrated its portfolio management capabilities maintaining an occupancy rate of 89% in 3QFY2024, which is higher than the market average. The average occupancy rate for Park Ventures is at 96%, and 87% for Sathorn Square.
To further strengthen its competitive differences, the two buildings managed by the trust are undergoing Asset Enhancement Initiative (AEI) that will improve the customer experience and also elevate ESG operational performance. Sathorn Square completed its facelift in early August, while the revamp of Park Ventures is scheduled to be completed by September. Upgrades include the installation of smart building technologies for better safety and convenience such as an access control system for building users and visitors via facial recognition and QR codes. For more seamless access to those commuting by car, building car parks now feature an automated license plate recognition system for managing vehicle entry and exit, e-Payment for parking, and EV chargers for electric vehicles.
Additionally, the trust places great importance on promoting the health and quality of life of building occupants by developing and upgrading systems and equipment to enhance their efficiency. An Indoor Air Quality (IAQ) monitoring system has been installed to display the air quality, filtered for PM2.5, in all areas of the building to ensure safety and suitability.
"Our investment in upgrading both our commercial assets? common and retail areas with these AEI projects is adding value to GVREIT, and building confidence among tenants and visitors, to compete with new office buildings in a highly competitive office market. We aim to maintain a satisfactory occupancy rate to ensure long-term, stable returns for trust unit holders." Mr. Thanarat concluded.