The Royal Phuket Marina Phuket complex has come onto the transaction market this week and is already gathering broad interest amongst property developers and institutional investors. Developed in 2005 by entrepreneur Gulu Lalvani, the sale is premised on taking forward the considerable land bank within the marina and on nearly Naka Yai island and expanding the footprint.
Currently the marina has 110 wet berths and a hard stand for another 40 vessels. Other key components include residential condominiums, retail shops, food and beverage offerings, fitness club and premium underground parking. With a total land area of the marina and a nearby beachfront plot on Naka Yai the total area exceeds 193 rai or over 300,000 square meters.
Phuket’s yachting industry is bursting at the seams with full houses at nearby Boat Lagoon, Yacht Haven and Ao Po Grand Marina. Included in the RPM complex is a master plan and existing infrastructure for hotels, a themed water park, and additional residential components. Given the island’s shifting tourism sands and the changing demand for off beach activities, the expectation is that a lifestyle integrated resort is the ideal path forward.
Leading brokerage Jones Lang LaSalle is exclusive on a bid process which will run until September. This marks the second mega complex in the Phuket market with Mai Khao’s West Sands going to bid earlier this year. Expectations are the latter will transact before the end of 2016. With the pressure in Europe on the Brexit, there has been a defined push in recent weeks from private equity groups and investors looking at Asian assets given sustained rising tourism numbers.
Over the past decade one has to appreciate the work in promoting the yachting sector and Phuket as a destination that Gulu Lalvani has done. In his own words the sale is meant to open the door for a new developer to take RPM to a next logical step as a fully integrated resort.