LPN-JLL has revealed its business expansion strategy, confident in bringing JLL on board to compete in the office building market. JLL will serve as the representative for tenant sourcing in the Lumpini Tower Vibhavadi Jatujak project (Building A) to meet the increasing demand in the office market, building on LPN's 29-year dominance in the residential condominium sector. The focus is on mutual growth, targeting investor clients for long-term rental returns and those seeking office space.

       Mr. Surawut Sukjareonsin, Senior Executive Officer of Strategy and Business Planning at L.P.N. Development Public Company Limited (LPN), stated during the signing ceremony for the memorandum of understanding appointing JLL as the tenant sourcing representative for Building A of the project that the Lumpini Tower Vibhavadi Jatujak project is an extension of investment through a business expansion strategy. The intention to develop office buildings again comes after the successful reception of the Lumpini Tower project (Rama 4 Road) in 1989 and LPN Tower, due to the location's potential meeting the needs of urban workers, being close to public utilities and easily accessible to important locations. The development of Lumpini Tower Vibhavadi Jatujak this year aligns with the current rising demand for office buildings on Vibhavadi Rangsit Road, which is considered one of the most promising locations.

       “The Lumpini Tower Vibhavadi Jatujak project brings together the experience and strengths that LPN has accumulated from over 29 years of developing residential condominiums to create product value, such as designing the project to meet international green building standards, planning energy management, and using renewable energy for efficient energy savings. It promotes a good quality of life for those working in the building by providing bicycle parking spaces, fostering physical and mental health, and reducing carbon dioxide emissions within the project, alongside enhancing building management services by LPN Property Management Co., Ltd. However, no matter how well-developed the project is, if it lacks professionals with expertise, it may lead to unsuccessful tenant sourcing in the project. Therefore, this collaboration between LPN and JLL creates mutual value by combining the strengths of both organizations to achieve the set goals. The project consists of two office buildings, divided into Building A and Building B, with the company choosing JLL as the tenant sourcing representative for Lumpini Tower Vibhavadi Jatujak (Building A) due to its outstanding expertise in office building services, particularly in sourcing tenants for both Thai and foreign companies, as well as acting as a representative for real estate transactions for investment purposes.

        Moreover, the company is confident in the potential of this prime location in Vibhavadi, being close to numerous office buildings of various companies, as well as public utilities, leading shopping centers, and comprehensive amenities, healthcare facilities, educational institutions, and large public parks. It is also near major rail transport connections, including trains, subways, and high-speed rail linking Bangkok and its outskirts, from Phaholyothin Road near the old Mo Chit area, Lat Phrao intersection, and Vibhavadi Rangsit Road. Although there is no direct subway line through the area, there are two subway lines providing convenient service, both the MRT (Phaholyothin and Jatujak stations) and BTS (Mo Chit station), making travel to and from the city more convenient and faster, as well as connecting to important regional roads effectively for all travel needs.”

        Ms. Suphin Meechuchip, Managing Director of Jones Lang LaSalle (Thailand) Ltd. (JLL) stated, “The development of Lumpini Tower Vibhavadi Jatujak clearly reflects LPN's smart strategy to expand business avenues. This project opens up opportunities for LPN to enter the office building market, which is currently one of the strongest sectors in Bangkok's real estate industry.”

       Ms. Yupa  added, “Currently, the office market in Bangkok is experiencing a shortage of space to meet tenant demand, especially for quality office buildings that are either fully occupied or nearly full. New buildings currently under construction have an average of over 30% of their space pre-leased, with a trend towards achieving 100% occupancy shortly after completion.”

       “The launch of Lumpini Tower Vibhavadi Jatujak at this time is therefore a suitable strategy. Additionally, the project's location on Vibhavadi Road is another good strategy, as many companies want to have offices in the Vibhavadi area, whether to be close to clients, suppliers, or employees, most of whom may reside in that area or further north in Bangkok, while still being able to easily access the business center of Bangkok. Therefore, I believe the project will succeed in leasing out space in no time, especially once construction is completed,” Ms. Yupa concluded.

Thank you for the information from www.lpn.co.th