The Boulevard Hotel Co., Ltd.
The Boulevard Hotel Co., Ltd. (“Boulevard”) is a special purpose vehicle (SPV), established under total registered capital of 20 Million Baht, which objective is to rent the Fund’s immovable property. Boulevard, in return, has to make profit and payback compensation to the Fund. In addition, UOBAM has specified SPV’s conditions, as ‘Bankruptcy Remote’, to prevent the creation of contingent liabilities by SPV, which may cause some damages to unitholders of the Fund. Another main reason to establish an SPV is due to an announcement of the Office of the Securities and Exchange Commission (SEC), prohibiting the Fund to operate a hotel business directly. The Fund, therefore, has to lease out its hotel building property type to an experienced company in hotel business only. Several shareholders of Boulevard, especially Mr. Kirin Narula, Mr. Narin Narula, Mr. Varin Narula and Mr. Lak Narula, are holding shares in the Quality Inn Co., Ltd., now serving as the lessor of the Fund’s property. They have been in hospitality business for many years.
To lease the property to the sub-lessee, as referred to above, the Fund will enter a subleasing contract, under leasing duration of 3 years each, under a fixed and variable rental fee (as detailed in the Prospectus). Furthermore, under a contract executed by Mr. Kirin Narula and Mr. Narin Narula, as directors of the Boulevard Hotel Co., Ltd., with the Fund, there will be a guarantee for a minimum lease income of approximately 173,044,241 Baht a year, for lease periods in Years 1 and 2, and approximately 163,479,241 Baht a year for lease periods in Years 3, 4 and 5. Mr. Kirin Narula and Mr. Narin Narula together agree to place a bank guarantee issued by a domestic commercial bank, under the total credit line of Baht 100,000,000, specifying the Fund as the beneficiary, for the Fund to secure lease income for that 5-year period. In this regard, Mr. Kirin Narula and Mr. Narin Narula may place the bank guarantee by themselves, or entrust other party to place the bank guarantee on their behalves.
Besides, the sub-lessee agrees to continue leasing the property of the Fund in case where the Fund has shown its intent, or exercised its right to urge the sub-lessee to renew the subleasing contract after the end of the contract, which will not exceed 9 renewals of 3 years each. The provisions and conditions shall remain unchanged from the former contract, including the right for contract renewal of three years each, after the end of each subleasing contract. The fixed rental fee may be subject to change, as agreed to otherwise by the Fund and sub-lessee. The Fund may consider allowing the sub-lessee to renew the lease contract in case there is no breach of contract throughout the lease period. In case where the Fund wishes to renew the lease contract to the sub-lessee, the Fund shall send a notice of at least three months in advance to the sub-lessee before the end of the sub-leasing contract.
In an event of change in the sub-lessee, there may be changes in provisions and conditions of the sub-leasing contract, including the rental fee calculation method.
List of Shareholders of the Boulevard Hotel Co., Ltd.
1. Mr. Kirin Narula
2. Mr. Narin Narula
3. Mr. Varin Narula
4. Mr. Surin Narula
5. Mr. Amarin Narula
6. Mr. Lak Narula
7. Mr. Rachavin Narula
The Quality Inn Co., Ltd.
The Quality Inn Co., Ltd. has been in the hospitality business for many years, since the company’s establishment on August 26, 1985. Its present paid-up capital equals Baht 200 Million. There are two groups of shareholders, i.e., the Narula Family, holding 69.4-percent shares, and Bangkok Bank PCL., holding 30.6-percent shares.
The company has positioned itself as a leader in hospitality business in Sukhumvit road area. The company and/or its subsidiary companies are the owner of many hotels, i.e., the City Lodge 9 Hotel, the City Lodge 19 Hotel, the Park Plaza Hotel, the Holiday Inn Sukhumvit, the Amari Boulevard Hotel, and the Sheraton Grand Sukhumvit Hotel, including the Ascott Sukhumvit Serviced Apartment. In addition, the Narula Family is a major shareholder of the Grand Asset Development PCL., now engaged in hospitality and real estate businesses, being the owner of leading hotels in Bangkok and upcountry.
List of Shareholders of the Quality Inn Co., Ltd.:
1. Mr. Varin Narula
2. Mr. Kirin Narula
3. Mr. Narin Narula
4. Mr. Lak Narula
5. Mr. Intaranee Narula
6. Mrs. Amornrat Narula
7. Mr. Kirapan Narula
8. Mr. Vichit Narula
9. Mrs. Sunita Narula
10. Mrs. Rawisara Narula
11. Bangkok Bank PCL.
The Amari Hotel and Resort Co., Ltd.
Established in 1965, the Amari Hotel and Resort Hotel Co., Ltd. is a leader in hospitality business management. Throughout the years, the company has well maintained service standard and quality under the ‘Amari’ brand, accepted by both Thai and foreign visitors. The company is now managing 19 hotels in Thailand, i.e.,
The Amari Airport Hotel - Bangkok
The Amari Boulevard Hotel - Bangkok
The Amari Watergate Hotel - Bangkok
The Amari Atrium Hotel - Bangkok
The Amari Rin Kham Hotel - Chiang Mai
The Amari Orchid Resort and Tower Hotel - Pattaya
The Amari Nova Suite Hotel - Pattaya
The Amari Emerald Cove Hotel - Koh Chang
The Amari Vogue Resort Hotel - Krabi
The Amari Palm Leaf Resort Hotel - Samui
The Amari Coral Beach Resort Hotel - Phuket
The Amari Trang Beach Resort Hotel - Trang
The Ang Khang Nature Resort Hotel - Chiang Mai
The City Lodge Hotel - Bangkok
The St’ James Hotel - Bangkok
The Loei Palace Hotel - Loei