Portfolio |
The Offices at CentralWorld
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Location | The Offices@CentralWorld
is located at No. 999/9 Rama I Road, Khwaeng Pathumwan, Khet Pathumwan, Bangkok 10330. |
Properties Invested in by the Fund | Nature of investment |
Land and building | Sub-leasehold right of approximately 20 years (ending 22 December 2032) |
Utility systems together with accessories and equipment related thereto |
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Furniture and equipment | Ownership |
Appraiser
- Brooke Real Estate Co., Ltd.
- Thai Property Appraisal Lynn Phillips Co., Ltd.
Average Appraised Value (At July 2012)
- 4,005.4 Million Baht for Initial Investment, Part 1
- 351.6 Million Baht for Initial Investment, Part 2
Investment Structure | Investment Timing | Sources of the Fund | |
Initial Investment, Part 1 |
Sub-leasehold right
|
14 September 2012 |
Investment unit offering |
Initial Investment, Part 2 |
Sub-leasehold right
|
21 December 2012 |
Local commercial bank loan (SCB) |
Currently the Crown Property Bureau owns all the land and buildings in CentralWorld Project and TBF4, which leases CentralWorld Project from the Crown Property Bureau, subleases the Offices@CentralWorld to Central World Co., Ltd., who holds the sublease right before or on the date the Fund shall make an investment. The lease agreement between TBF4 and Crown Property Bureau is the land lease agreement to construct all the buildings within the CentralWorld Project under one agreement. TBF4 divides the management and administration of the assets under the lease agreement into 3 parts, for each developer of the components which comprise office building, shopping complex and hotel. The performance of TBF4 under the lease agreement is directly guaranteed to the Crown Property Bureau by CPN. Once the construction of all the buildings is completed, the ownership in such buildings will be transferred to the Crown Property Bureau. Thus the current lease agreement between TBF4 and the Crown Property Bureau is effectively an agreement to lease land and building (the Master Lease Agreement)
Due to the fact that the terms and conditions of the Master Lease Agreement entered into between the Crown Property Bureau and TBF4 requires that CPN shall be the Guarantor for the performance of duties of TBF4 and that the termination of the Master Lease Agreement is conditional upon existence of CPN, the financial stability of CPN directly affects the status of the Sublease Agreement for Office Building made between the Fund and TBF4. In this connection, the Fund and CPN have provided measures for preventing and managing such risks consisting of Warning Signal and Force Signal