MT Asset strengthens its real estate portfolio by accelerating the development of 'MT Khu Khot Lifestyle Mall' to meet the demand of consumers in the Khu Khot area, with an official launch scheduled for the second quarter of 2024 and plans to introduce a REIT in three years.

Dr. Warapoj Kantapiphat, Managing Director of MT Asset Corporation Limited stated that the Khu Khot area is currently experiencing continuous growth with housing developments and condominiums along the extended Green Line of the BTS, which has been operational from Mo Chit to Khu Khot. The area's potential has prompted the company to invest approximately 100 million baht to renovate MT Arena Sport & Lifestyle Mall into a lifestyle mall named MT Khu Khot Lifestyle Mall.

The MT Khu Khot Lifestyle Mall will be located on Lam Luk Ka Road, just 400 meters from the Khu Khot BTS station, covering an area of over 10 rai. The development is divided into three parts: the first part is Makro Food Service, covering 4,400 square meters. The second part is the first Starbucks Drive-Thru on Lam Luk Ka Road, both of which are already operational. The final part is a three-story mall with 16 units, totaling 1,600 square meters, divided into 12 units for food and beverages and 4 units for health and beauty services, with rental prices starting at 500 baht per square meter.

Currently, construction is about 70% complete, with plans for more retail space to establish the first and only food destination in the Khu Khot area. Rental spaces have been available since mid-last year, and 40% has already been leased. The goal is to finalize all leases and deliver spaces to tenants by the first quarter of 2024, with full operations expected in the second quarter.

The target customer base includes residents and workers within a 5-kilometer radius of the project, covering the Lam Luk Ka, Rangsit, and Sai Mai areas, as well as BTS users at Khu Khot station and the Khu Khot park-and-ride facility, which sees over 2,100 vehicles parked daily. It is anticipated that at least 3,000 people will visit on weekdays, doubling on weekends and holidays.

Nevertheless, MT Asset continues to focus on developing, managing, and selling various real estate projects in the northern Bangkok, Nonthaburi, and Pathum Thani areas, emphasizing a risk diversification strategy. The main revenue comes from approximately 70% of property sales and 30% from rental projects. In the third quarter of 2023, total revenue exceeded 160 million baht, comprising 120 million baht from sales and 40 million baht from rentals.

It is expected that this year, total revenue will reach around 210 million baht, driven by the completion of the MT Residence Klong Luang condominium project with 312 units, over 80% of which have already been transferred, along with rental income from various projects. This will enable the company to maintain a growth momentum of 10% for another year. Plans for new project developments will continue next year, focusing on mixed-use developments in the Rangsit area to meet customer demand. The company aims to bring the MT Khu Khot Lifestyle Mall project to raise funds through a real estate investment trust (REIT) within three years after its opening to finance further project developments.