Second riverside mall on the way

Bangkok’s first large-scale open-air mall, Asiatique The Riverfront, is affecting property developments along the Chao Phraya River and driving up land prices in the area.

The owners of condominiums and hotels are adopting mixed-use projects to cash in on the growing number of Thai and foreign tourists, said Dhwat Sommanobhat, head of marketing and public relations of Riverside Masterplan Co, the operator of Asiatique The Riverfront. 

Ramada Plaza Menam Riverside Bangkok and Anantara Bangkok Riverside Resort & Spa are examples of this trend. Moreover, many landowners along the riverside plan to develop community malls, though on a smaller scale than Asiatique, he said.

Last year, Siam Paragon, Siam Center, Siam Discovery and Magnolia Quality Development, together with CP Group, announced the development of a luxury 

high-rise building and shopping complex on a 40-rai (6.4-hectare) plot along the Chao Phraya. 

Anticipating the competition on the riverside, TCC Land Group, the parent company of Riverside Masterplan, spent Bt2 billion to Bt3 billion on a 22-rai plot to set up a second open-air mall, smaller than Asiatique, which is on 50 rai. 

The name of the second mall has not been finalised yet, but construction is expected to be completed in the next two or three years, he said.

Billionaire Charoen Sirivadhanabhakdi, the owner of TCC Land Group, aims to broaden the open-air-mall concept to cover main cities in provinces that attract Thai and foreign tourists, Dhwat said.

“Charoen wants to build Asiatique as a global brand and a world-class travel destination within three to five years,” he added.

He said the company was conducting a feasibility study on developing the second Asiatique beside the Chao Phraya on Charoen Nakhon Road, opposite the first one on Charoen Krung Road.

The second mall in Thon Buri district will feature the history of Bangkok. It will have synergy with the first Asiatique while catering to people living in the area.

The target group of the second mall is low-to-middle-income people or backpackers looking for reasonable prices, unlike the first Asiatique, which caters to customers with high purchasing power, Dhwat said. 

The company is planning to build a cable car to connect the two open-air malls; however, this must be approved by environmental agencies. 

“A cable car is not easy to set up, but we want to [help] solve the traffic jams,” he said.

Dhwat said the occupancy rate at Asiatique The Riverfront was 100 per cent, with 2,000 would-be tenants on the waiting list, so the company will increase the rental fee at the end of each three-year contract. Rental fees represent 60-70 per cent of Asiatique’s revenue, the rest coming from events and marketing activities of private companies. 

About 30,000-40,000 tourists per day visit Asiatique, creating annual cash flow of Bt3 billion. The ratio of Thai and foreign visitors is 50:50.