Bt4 billion earmarked for expansion
Two new Lamphun golf courses, property projects planned to tap northern demand
Gassan Marina is a new project in Lamphun, worth up to Bt2.5 billion and including a residential area and golf club. It will open in October.
The Gassan Group plans to spend up to Bt4 billion this year building two new golf courses and residential projects in Lamphun province.
The projects are slated for completion this year and next, according to Pravit Reung-po, the group's president. The two projects will be added to two other Lamphun province courses the company owns about 40 kilometres from Chiang Mai International Airport.
Pravit said demand for golf clubs in northern Thailand had continued to grow along with the increase in tourism in the northern region.
"My golf clubs are near Chiang Mai and they also have facilities to support the needs of tourists who plan to vacation and play golf," he said. The company's existing two courses in Lamphun are Gassan Khuntan Golf and Resort and Gassan Lake City Golf Club.
Since Gassan Khuntan Golf opened in November 2004, it has had 500-700 visitors a week, especially in the high season from November to March.
Half of the visitors are from Japan, South Korea, Taiwan, Europe and China, and the rest are domestic tourists.
After seeing more strong demand for golf clubs in the northern part of Thailand, Gassan Group decided to invest Bt700 million to build Gassan Lake City Golf Club, which opened last December.
Each club has 50 members , and the company hopes to increase membership to 300 per club by the end of this year.
The new golf clubs will be located near Gassan Lake City Golf Club. One is to be called Gassan Marina Golf Club.
Pravit said the company would spend Bt1 billion building the 18-hole Gassan Marina Golf Club, and Bt1.5 billion for a property project around the club.
Gassan Marina Golf Club is slated to open by October.
The company also plans to spend Bt800 million building another 18 holes near Gassan Marina Golf Club, and another Bt700 million to develop new residential projects around the new golf club.
The company expects to complete the project next year.
Half of the investment will come from bank loans and the rest will come from the company's operations, Pravit said.
The Gassan Group recorded revenues of about Bt200 million last year. However, the company expects sales to double this year after its residential project around Gassan Khuntan Golf and Resort is completed and sold in the second half of the year.
He added that after the next two projects are completed, the Gassan Group will be the largest golf-course operator in Southeast Asia.