Prima Asset Management buys a Tesla-leased property in Bangkok for $48.33 million

The Singapore-based investment company, Prima Asset Management, has bought a commercial freehold property located in Bangkok, Thailand. The press release that announces the acquisition, Prime says that its VCC Investment Fund, managed by First Degree Global Asset Management was instrumental in facilitating the purchase of the real property asset. Capital Solution Asia, a Bangkok firm based in Thailand was enlisted as an advisor on local due diligence in real estate and the management of transactions.

Grand Dunman price bid of $1.284 billion, equivalent to $1,350 per square feet per plot ratio (psf ppr).

Although the firm’s investment has not disclosed its price for the property but the property is believed to have a gross developing value that is THB1.25 billion ($48.33 million). It is situated at No. 7 and 7/1 on Ramkhamheang Road in Saphansung Subdistrict It is comprised of around 250,000 square feet of office, showroom and service areas as well as delivery spaces. The property is lease by Tesla Motors through a triple net lease.

“The strategic purchase of this premier property does not just signal our commitment to the growing South East Asian real estate market, but also puts Prima at the forefront of the expanding EV market” claims Prima President Ben Hall. Other parties who backed the deal include a consortium of family offices, institutional investors and high-net worth individuals such as Baksh Capital Fraxtor as well as Thakral Corp.

Prima declares that it’s preparing to purchase an additional $100 to $250 million worth from real estate investments in the three years to come. This is a result of the encouragement received from its investor base, made up of family offices and wealthy individuals, who encourage them to look for the possibility of a pipeline with similar offers’.

Prima has announced plans to improve its Bangkok asset to increase the value of the property over time and also meet Tesla’s operational demands. Prima claims it is looking for similar value-add agreements to help ease the macroeconomic risks, such as the cost of inflation, debt and construction costs.