Chiang Mai ex-mayor's family builds hotel empire

A former mayor of Chiang Mai, Boonlert Buranupakorn, will spend Bt3 billion to develop at least five hotels in Krabi, Phuket and Bangkok over the next three years, following four hotels here - The Empress, The Park, the Down Town Inn and the Sofitel Riverside Chiang Mai.

At the same time, Boonlert and his family are planning to add to their existing chain of Thai restaurants in Europe by expanding from Germany

into England and France.

Of the hotel and resort plans, construction is under way on a 50-room hotel on Krabi's Ao Nang Beach. It is due for completion at the end of next year at a cost of Bt300 million and will be aimed at attracting international tourists.

Boonlert's group opened its first hotel - the Krabi La Playa Resort - in Krabi four years ago, but business has been slow since the December 2004 tsunami.

Boonlert said the group would soon build a hotel on Bangkok's Phetchaburi Road with about 200 rooms. It will be the family's second hotel in Bangkok, following the Eastin Hotel on New Phetchaburi Road in the Makkasan area.

As well, the group is buying a plot of land at an undisclosed beach resort where it plans to build yet another hotel, this time a five-star property that is expected to cost Bt1 billion and will be run by an international chain operator.

It is also searching for land in Phuket, Phang Nga and Trang provinces, to build more hotels and resorts.

"Within the next three years, we'll have at least five new hotels that are already

in the pipeline at a cost of

Bt3 billion. With this, we're focusing on southern Thailand, where tourism is growing significantly," Boonlert said.

The family's Sofitel Riverside cost Bt1 billion and is the first of the family's properties to be managed by the global Accor Group.

Its general manager, Brendan Daly, said the 75-room hotel was expected to have an average occupancy rate of more than 80 percent this year. It plans to attract foreign guests; meetings, incentive, convention and exhibition business; golfers; and honeymoon couples.

Boonlert said the group

also runs other businesses in Chiang Mai, including a shopping arcade, coffee shops, a property business, and firms manufacturing wooden furniture and umbrellas. As well, it recently opened the Empress Convention Centre in Chiang Mai.

The Buranupakorn family also runs seven Thai restaurants in Germany, named Rainbow. It plans to expand the restaurant chain into England and France in the near future.

Boonlert said there were no present plans to revive the proposed budget airline Chiang Mai Airways, which he set up with other Chiang Mai-based businessmen some years ago.

Plans for the airline foundered because of the country's economic downturn and rising oil prices. Investors are waiting for better conditions and to see the policies of the new government before making any further moves, he said.

With registered capital of Bt100 million, Chiang Mai Airways was intended to link Thailand's northern capital with Shanghai, Hong Kong, South Korea, Japan and Taiwan.

Chiang Mai

Suchat Sritama

The Nation