Nexus Property Consultants Co., Ltd.

A Member of the Cushman & Wakefield

Alliance Program
31st Fl., BKI Building/ Y.W.C.A. 25 South
Sathorn Road, Thungmahamek, Sathorn,
BKK 10120, Thailand
www.nexus.co.th
For more information, contact:
Teerawit Limthongsakul,
Executive Director
662 286 8899
teerawit@nexus.co.th
The market terms and definitions in this report are based on NAIOP standards. No warranty or representation, express or
implied, is made to the accuracy or completeness of the information contained herein, and same is submitted subject to
errors, omissions, change of price, rental or other conditions, withdrawal without notice, and to any special listing conditions
imposed by our principals. 2013 Cushman & Wakefield, Inc. All rights reserved.


H2 2013
BANGKOK, THAILAND
RETAIL SNAPSHOT

MARKETBEAT

A Cushman & Wakefield Research Publication
ECONOMY
According to the National Economic and
Social Development Board (NESDB), the
Thai economy experienced a sluggish growth
in the fourth quarter of 2013 due to a
deceleration in private consumption and
investment, declining exports, and a slowing global economy.
Ongoing political conflict also played a major role in decelerating
the nations economic growth. The NESDB has revised its 2013
annualized GDP forecast from 3.8-4.5% to 3%, after a lower-than-
expected GDP of 2.7% for the third quarter of 2013 was
announced. However, the economy is expected to gradually
expand at an annualized rate of 4%-5% next year, benefiting from
the recovery of the global economy and Thailands major trading
counterparts, whereas the recovery of the political situation is
crucially needed for Thailands economy to grow.
SUPPLY ADDED IN 2013
In the second half of 2013, Bangkoks Central Retail District (CRD)
stock rose to 539,545 square meters (sq.m.), due to the expansion
of Central World shopping mall last year. According to Central
Pattana (CPN), the developer of Central World, the space was
built at a budget of more than THB600 million, with the
expectation that it would be Bangkoks landmark for nightlife.
Overall, Bangkoks retail supply in the second half of 2013 stands at
5.13 million sq.m. an increase of approximately 0.06% from the
second half of 2012.
OCCUPANCY RATE & RENT CONTINUE TO RISE
The occupancy rate in the CRD was 5.32%, an increase of 0.54%
from the first half of 2013 due to the expansion of Central World.
Rent in the CRD was THB 3,200 per square meter per month
(/sq.m./mo.), rising slightly by 3.23% from the first half of 2013 and
increasing by 4.92% from the same period of last year. For the
CRD Fringe and Urban areas, rent was THB 1,960/sq.m./mo.,
increasing by 3.16% from the same period a year ago.
OUTLOOK
With the strong competition in Bangkoks CRD, all big retail
developers (CPN, The Mall, Siam Piwat and Gasorn) are actively
refreshing their spaces to attract new tenants and shoppers.
For 2013, international brands expanded their shops across
Bangkok and upcountry. In the second half of 2013, H&M opened
its door on the ground floor at Central World, with approximately
3,500 sq.m., making it its biggest branch in Thailand.
New supply in Bangkoks CRD is scheduled for 2014. Central
Embassy, the luxury concept shopping mall, has more than 50% of
its total rentable area booked by new entry and existing luxury
retailers who have announced their occupancies. The EmQuartier,
by The Mall group, will be developed on Sukhumvit Road. It will be
the first mall in Thailand to feature an automatic car-park system.
ECONOMIC INDICATORS
NATIONAL 2011 2012 Q3 2013
GDP Growth 0.1% 6.4% 2.7%
CPI Growth 3.6% 3.0% 2.3%
Private Final Expenditure Growth 1.3% 6.7% -1.2%
Govt. Final Expenditure Growth 1.1% 7.5% 7.4%
SOURCE: NESDB, Bank of Thailand

PRIME RETAIL RENTS JUNE 2013
MAINSTREETS LOCAL
CURRENCY
EURO
SF/YR
US$
SF/YR
6-MO. CHANGE
Y-O-Y CHANGE
Central Retail
District (CRD)
THB 3,200
/sq.m./mo.
80.80 111.25 3.23% 4.92%
CRD Fringe &
Urban
THB 1,960
/sq.m./mo.
49.49 68.14 0% 3.16%

SIGNIFICANT LEASING TRANSACTIONS
PROPERTY LOCATION TENANT SQUARE FEET
Central World CRD (Rama I) H&M 37,660*
Siam Center CRD (Rama I) Victoria Secret 3,500*
Remarks: * estimated

SIGNIFICANT PROJECTS UNDER CONSTRUCTION
PROPERTY LOCATION SQUARE FEET COMPLETION DATE
Central Embassy Pleonchit 441,324 Q3 2014
Emquatier Sukhumvit 645,840* Q4 2014
EmSphere Sukhumvit 645,840* Q4 2016
Remarks: * estimated