SRT finalising board of estate development subsidiary
The State Railway of Thailand is on course to create SRT Asset Co, an asset development subsidiary, with the board of the new company expected to be finalised within two months after which the managing director will be appointed
SRT Governor Nirut Maneephan said on Tuesday that the SRT was still in the process of preparing all existing leases to hand over the work to the subsidiary after the memorandum of understanding is signed.
The leases have been divided into groups to make it easier to manage, such as leases without any problems, leases that have completed paid compensation, expired leases Including review of land ownership and areas with intruders.
SRT’s work transfer will be divided into two phases.
Phase 1: Transfer of land that is currently leased -- more than 15,000 contracts.
Phase 2: Transfer of vacant land without lease agreement to allow the subsidiary to plan and develop an area of approximately 38,000 rai (6,080 hectares) worth more than Bt300 billion, for example, the area around Bang Sue Grand Station, Mae Nam Station, and other properties.
Currently, SRT has a total debt of Bt177 billion and it is expected that SRT Asset Co will generate more than Bt630 billion for SRT within 30 years, which will be sufficient for debt management and run the organisation in the future.