TICON Logistics Park Co., Ltd. (TPARK), as the leading international logistics facilities developers, is flexible in developing Built to Suit facilities, tailored to customers' specific requirements on the extensive choice of land in a wide range of locations.
With TPARK's professional development team, enhanced with its financial strength, TPARK will ensure that the Built to Suit facilities will be developed according to the customers' specific requirements and delivered to customers on time.
Choice of Land
By holding land in a number of strategic locations, TPARK not only provides the opportunity of these preferred sites, but also removes the land acquisition risks of uncertainty and delay.
The ability to extend the Built to Suit warehouse can be built into the initial development and locating on a TPARK Logistics park provides the additional opportunity to expand into other logistics space in the park at some time in the future.
The Development Process
TPARK's development process for Built to Suit facilities comprises 6 methodical steps. Each step is the fundamental process for custom developing the warehouses to meet with the specific requirements of each customer.
Step 1: Determining the customer's requirements is the initial step allowing TPARK to understand the specific needs and requirements of each customer, including the details of all activities to be carried out inside the warehouse. Storage (type and number of racking system), inbound receiving, dispatching (preparing and checking products for outbound), value-added activities (e.g. Re-labeling and re-packing), number of workers, office space, battery charging area for forklifts, and other facilities (e.g. Canteens and parking area). This information is essential for specifying the warehouse space and land area. The size of warehouse and land can be determined precisely as more details are provided by the customers.
Furthermore, the information gathered from the customer, covering all stages of the supply chain, is necessary for selecting the ideal location to develop the facility. The selected location must be able to satisfy the customer in achieving the minimum cost and time of distribution, while also improving the efficiency and effectiveness of the logistics operation.
Step 2: Conceptual Design of the warehouse is derived from the customer's require- ments and is presented in visual format. The size and layout of the warehouse must be carefully designed based on the sequence of working process to enhance the smoothness in operation of the customer. After specifying the size and layout of the warehouse, the size and the shape of land can be determined accurately. With the conceptual design, the customer is able to turn their ideal warehouse into reality.
Step 3: Submission of proposal and rental budget is the necessary step to confirm and ensure that the customer agrees to the terms and conditions regarding the design and specifications of the warehouse, as well as the rental.
Step 4: Signing of the agreement for lease between the customer and TPARK is required before starting the development of a Built to Suit project.
Step 5: Definitive Design and Construction is the step where both customer and TPARK's team must work very closely to settle the definitive design and layout of the ware- house. The schedule must be well planned in order to complete the construction and handover the warehouse to the customer on time.
Step 6: Signing of lease agreement and handover the warehouse is the final step of the development process. The customer and TPARK will complete the lease agreements in pre-agreed form and TPARK will hand over possession of the Built to Suit warehouse to the customer.
Strong FinAnciAl ABiliTy
TPARK, with paid-up capital of 2.5 billion baht, is a wholly-owned subsidiary of TICON industrial connection public company limited (TICON), the publicly-listed leading provider of leased factories in thailand.
TICON has sponsored the establishment of 3 listed property funds; TICON Property Fund (TFUND) primarily for factories, and TPARK logistics property fund (TLOGIS) for warehouses. In 2013, TICON launched TICON Industrial Growth Leasehold Property Fund or "TGROWTH". The intention of TFUND, TLOGIS and TGROWTH is not merely to acquire assets from TICON and TPARK, but to be generic factory and warehouse investment funds. The funds, through TICON as property managers, therefore seek to acquire other prime industrial and warehousing property investments. These property funds, in which TICON retains significant holdings, enable TICON and TPARK to recycle capital for further development by periodically selling tranches of investment properties to the funds. As property managers to the funds, TICON and TPARK continue to provide the same services to their lessee customers following the sales, in a seamless manner. With TPARK's sound financial fundamentals, backed-up by the strength of TICON, and the ability to recycle capital by investment sales to TFUND and TLOGIS, TPARK is well able to finance growth in its Built to Suit development portfolio.