DTGO Sets Up Hotel REIT

09 Sep 2022Corporate

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Bangkok – MQDC, the property developer within DTGO, has put its hotels into a real estate investment trust (REIT), raising funds that will support further investment, pay off debt, and supply working capital.
7 September 2022, Bangkok – MQDC, the property developer within DTGO, has put its hotels into a real estate investment trust (REIT), raising funds that will support further investment, pay off debt, and supply working capital.

DTP Global REITs Management (DTPRM), a REIT management company under DTGO Prosperous (DTP), has launched DTP Hospitality Real Estate Investment Trust (DTPHREIT), a hotel and leasehold REIT to invest up to 4,107 million baht in MQDC’s high-potential hotel business.

Ms. Wanida Suksuwan, Managing Director of DTP Global REITs Management (DTPRM), said DTPHREIT will invest in: 1. Waldorf Astoria Bangkok; 2. Magnolias Ratchadamri Boulevard (MRB) serviced apartments; 3. U Khao Yai.

DTPHREIT is a buy-back REIT with an agreement to sell the real estate back to the original owner at the close of the 3rd year from the date it invests.

“With stable income and consistent returns from letting, the property owner pays a fixed rent so DTPHREIT can pay its unitholders the fixed-rate return of 7% per annum for 3 years,” said Ms. Suksuwan.

Mr. Visit Malaisirirat, CEO of MQDC, said that the assets sold to DTPHREIT have very high potential, both in location and quality. For the fundraising purpose, he added that it is to support further investment, pay off debt, and supply working capital.

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Result
Confirmation