THE Dhara Dhevi Chiang Mai hotel plans to spend Bt5 billion on expansion, including developing luxury residences, after it was acquired by Inter Far East Energy Corporation Plc last year.
Sittichai Phonsapanan, vice chairman and chief executive officer of IFEC, said yesterday that the hotel plans to work with a listed high-end property developer to expand and build condominiums as well as pool residences.
The new investment is set to kick off, as it plans to exit rehabilitation next month.
“The board of directors of the hotel, which is our subsidiary, approved to establish a joint venture for the new investment on a 40-rai plot of land with a budget of Bt5 billion,” he said.
The new projects will be a six-star hotel feature 80 keys with space of 50 square metres each, four condominium towers with a total 200 units beginning at 60m2 and 16 pool villas starting at 200m2.
Raimon Land is reported most likely to be the new partner, as it is keen on the luxury segment and is already successful in Bangkok and Chon Buri.
The new project would become the most luxurious residence in Chiang Mai and is expected to draw attention at large.
IFEC, a energy and resource company, acquired the hotel in December for Bt2.5 billion cash, of which Bt1 billion was for the hotel’s debt. The Dhara Dhevi Chiang Mai opened in 2002. It was managed by the Mandarin Oriental chain for years until the management contract expired and then it was run by its own team.