CENTRAL PATTANA GEARS FOR FIRST OVERSEAS JV

       Leading mall developer Central Pattana (CPN) will conclude a joint-venture deal with a potential Chinese partner within six to eight months, president and CEO Kobchai Chirathivat said yesterday.
       A shopping mall to be located in China will be CPN's first foreign project, costing Bt4 billion to Bt5 billion and take up to three years to build.
       "We see China as a huge market with tremendous business potential. There are 20 major cities there, each with more than 10 million population on average," said Kobchai.
       But he declined to name which city might host the project until after a partnership deal was signed.
       Kobchai said CPN had negotiated with many landlords in major Chinese cities in China for joint-venture possibilities.
       "However, we want to be the major shareholder in the joint venture, because we want to manage the mall. We require a local partner with good connections to state officials and local businesses," he said.
       Kobchai said CPN would develop the mall's concept to match that of the community around it.
       "We want to be part of their community," said Kobchai.
       Kobchai said like Thailand, China had formulated a policy of attracting foreign investors, particularly in the trading and retail sectors. However, the Chinese government allows foreign investors to own more than half of a joint venture.
       "We'll select a location with less competition and in which we can lead the market," said Kobchai, adding that the move was in line with CPN's strategy of dominating the shopping-centre market in each location it entered.
       "We've been conducting a market-feasibility in China for five years now. Before that, we delayed our plans in the wake of the 1997 financial crisis.
       Kobchai said CPN would also spend Bt8 billion to Bt9 billion to develop new shopping centres domestically next year, including on Rama IX Road.