CGS International Securities (Thailand) expected the opening of One Bangkok, the new luxury shopping mall, will have a limited impact on other mixed-use projects in Bangkok, especially those owned by the Chirathivat family, due to it not being in a fully-launched stage.
One Bangkok is developed by Frasers Property, a subsidiary of TCC Group, one of Thailand’s largest conglomerates, owned by the Sirivadhanabhakdi family.
CGSI described its first impression of One Bangkok that the firm was struck by One Bangkok’s innovative approach, setting it apart from other mixed-use projects in Bangkok. The project’s concept has a fresh, distinct character that promises a unique experience in the city.
Putting that aside, the securities company stated that with the project still in its early stages, it has not yet reached full potential in terms of offerings and atmosphere. As two out of three zones (Parade and The Storeys) are now opened while the highly anticipated Post 1928 is still under wraps. Note that The Storeys has fewer open stores, and several spaces remain vacant. However, this is supposed to be filled with high-end shoppers once fully opened.
CGSI noted that One Bangkok has done well in covering broad customer interests, but there is room for improvement in category depth. Moreover, the selection does not introduce a fresh retail experience distinct from other shopping centers, and the lack of significant retail anchors as magnets to draw traffic could impact its appeal.
Meanwhile, most restaurants, though cater to all consumer groups and price levels, are similar with other major malls, reducing the uniqueness of One Bangkok’s dining offerings.
CGSI concluded that it currently does not see One Bangkok posing a major threat to other high-profile mixed-use projects in the CBD, such as Central World, Siam Paragon, Central Chidlom, and Central Embassy. For now, the firm believed the impact on Central Retail Corp Public Company Limited (SET: CRC) and Central Pattana Public Company Limited (SET: CPN) remains limited.
However, One Bangkok could gain significant momentum if it manages to fill more spaces in The Storeys and launch Post 1928 as planned, particularly since this zone is expected to house luxury brands. With these additions, CGSI believed One Bangkok has the potential to transform into a fully-fledged shopping destination that could shake up the retail landscape.
