Govt mulls future of SRT's Makkasan complex
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FINANCE MINISTER Sommai Phasee said yesterday that the government was brainstorming the future of the State Railway of Thailand's 500-rai (80-hectare) Makkasan complex, and a 100-year concession including a 50-year extension is one of the scenarios being
“The 50-50-year model is being studied but there is no conclusion regarding the investment budget or its price yet,” he said.
Turning the area into a public park under a 30-year concession plus 30-year extension had been considered, but now that could be lengthened to a 50-year concession plus 50-year extension. This could increase the value of the land.
The SRT is leasing the land in the heart of Bangkok to the Finance Ministry to reduce its Bt119-billion debt. The SRT estimates that the outlay needed to turn it into a public park would be about Bt200 billion to Bt300 billion.
“The assumptions used for price calculations are not in the same ballpark, while other discussions are still under way such as the use of 150 rai for a public park or green space and the SRT’s request for three years to phase out,” Sommai said. “I asked them if they could move out sooner than that.
“Around 150 rai should be used for a public park and 30 rai for a museum. That much is clear for now. But how much will be given for the commercial area is under discussion,” he said.
At first the SRT planned to use some 100 rai for building roads around the congested Makkasan area, plus an area for the expressway on- and off-ramps. About 300 rai would be left for commercial development.
The SRT expects to designate only 15-20 per cent of these 300 rai as a public park or green space.
The study and discussion by the Finance Ministry, SRT and Transport Ministry regarding the development of the complex will be finalised in three weeks, Sommai said.
Letting a casino be developed on the land is “beyond me”, he said, implying that the controversial proposal involving cultural and religious issues would need to be decided at a higher level.
The possibility of opening up the country’s first casino, combined with an entertainment complex and visitor screening process along the lines of what is being done in Singapore, should be “studied carefully”.
He did not indicate whether he was for or against the idea.
