CB Richard Ellis manages more than 2.5 billion sq. ft. (232.3 million sq.m.) of commercial property globally. This portfolio is more than 850 million sq. ft. (79 million sq.m.) larger than the #2 firm, which manages 1.65 billion sq. ft. (153.3 million sq.m.).

In Thailand, CBRE manages over 6.4 million sq.m. of grade A offices, world class villas, luxury condominiums and apartments, retail in Bangkok, Phuket and Samui such as Energy Complex which is an energy saving development and applies LEED, an internationally recognized green building certification system, for new construction.  Some of other properties under CBRE’s management are Athenee Tower, CyberWorld Tower, Exchange Tower, The Met, The Infinity, The Rajdamri, Royal Residence Park, Vasu The Residence, Samui Park Avenue, Royal Phuket Marina, Laeng Singh Villas, The Heights, Layan Estate.   

Energy Complex

CBRE Executive Managing Director, Asia Pacific Asset Services, Mr. Sam Cuccurullo said CBRE was the leading commercial property manager in the Asia Pacific region, with 800 million sq. ft. (74.3 million sq.m.) under management.

“We have now created a global Asset Services Executive Committee and we are starting to create initiatives around strategic client accounts,” Mr. Cuccurullo said.

“Going forward one of our primary targets in Asia Pacific is regional clients and premier buildings in major CBD locations.”

From the recent events last month, our property management team has learned invaluable lessons from direct experience in managing 12 buildings in the red zone, seven of which were at the centre of the riot areas.

Every company is concerned about staff safety, but one profession that has to continue its duty to provide security for the buildings and occupants is property management, regardless of the situation.

Only a few staff were voluntarily on duty to man the buildings amid the clamour of bombs and gunfire and smoke from fires in nearby buildings and the uncertainties of what would happen next.

The recent events have raised security concerns for both commercial and residential buildings. Many residential buildings do not have proper gates to the compound to prevent intruders. For commercial buildings, an open gate design is often adopted, but the problem lies at the building entrances, which are mostly glass doors without shuters.

A measure most commercial buildings have implemented is to control elevators not to open on ground floors.

However, it is clear that most properties are not well prepared for such riots, as no one imagined it would happen in the heart of Bangkok.

Following the events, there are lessons to be learnt. Whilst buildings comply with fire-safety regulations, there are now other risks to consider.

In other parts of the world, sophisticated security measures and technology are implemented to prevent or minimise the impact from natural disasters, riots or even terrorist attacks. However, the fact is these security systems are expensive and ineffective without the right people using them.

Therefore it must be a combination between the right system and the people. Landlords must balance the security measures against investment and the standard of safety they need to provide to occupants.

From our perspective, there are three broad aspects that should be reviewed.

First, the physical control of ingress and egress. Buildings should have one main entrance that can be security-protected from outside.

An access-card control system should be effectively implemented at all access points including the main lift lobby and all car park floors.

Visitor cars should also be checked with a car park allocated separately from the occupants’ car parking area.

The building exits should also be carefully planned to allow evacuation in case of fire, explosions, natural disasters or terrorist acts. Multiple emergency exits should be available and effectively activated when necessary.

Other routine measures that are often overlooked include updating the layout and M&E plans of the building and the list of occupants/tenants and their contact details, and make this available on-and off-site.

Fire staircases and exits, CCTVs, and security and safety equipment should also be inspected on a regular basis.

The second aspect is people. Security guards and property management staff should be proactive and professionally trained to use the system and equipment and handle emergency situations beyond fire evacuation.

Occupants must also realise the importance of the measures and comply with the procedures.

The last issue is design. New security systems may not be implemented in existing buildings with design limitations, but architects, developers and all design professionals should be aware of these requirements.

The systems are best incorporated right from the start of the planning for the site, layout and structure to M&E.

All too often many buildings do not implement proper security measures for the wrong reasons such as disturbance to visitors or privacy of occupants, budget constraints or simply because of the lack of staff discipline to control or implement.

Residential building owners must assess what is more important – convenience and privacy or security.

Commercial building owners must also find a balance between allowing uncontrolled public access to building facilities and implementing measures to reduce security risks.

It remains a question of how long people will continue to be alert and aware.

But as Thais tend to forget easily, we do hope that these lessons can be learnt and remembered, as prevention is always better than a cure.

The Energy Complex is located on Vibhavadi-Rangsit Road and consists of two grade A office buildings of 36 and 25 storeys, one service building, and two parking garages. The total space of approximately 300,000 square metres within this project will be occupied by the PTT group of companies including PTT Exploration & Production Plc., PTT Chemical Plc., Thai Oil Plc., and other companies related to the energy industry. An office of the Ministry of Energy will also be situated here. This project is scheduled for completion in Q4 2009.

Apart from its unique building architecture, the Energy Complex has been well designed to meet the standards of the LEED (Leadership in Energy and Environmental Design) green building rating system for new constructions in order to save energy and be environmentally friendly. The aerodynamic shape of its facade will help reduce the temperature and heat on the building’s surface. The buildings have also been designed to withstand earthquakes measuring 7.2 on the Richter scale that are 200 kilometres away on the fault line in Kanchanaburi. High-tech building management systems have also been installed.

Furthermore, retail space and facilities including a fitness centre, business centre, seminar rooms and an auditorium for 30-500 people, an exhibition room, restaurants, a 1,000-seat food court, banks, a roof garden, an outdoor exercise area, and parking for around 3,700 vehicles, have been provided for workers and visitors.

Ms. Aliwassa Pathnadabutr, Managing Director of CBRE Thailand, said, “We are pleased that Energy Complex Co. Ltd. has appointed CBRE as the property manager of this major project which has a competitive edge in terms of technology, energy savings, and environmentally friendliness. This is a further step in the expansion of CBRE’s property management services in managing buildings with LEED standards which are well recognized as the global standard for green buildings. This appointment will help reinforce CBRE’s position as the leader in property management in Thailand.”

“We have set up teams of specialists for specific scopes of work based at the Energy Complex, including an environmental engineer as one of almost 50 engineers and safety professionals who have gained a Bachelor’s degree or a Certificate in Occupational Health and Safety for High-rise Buildings, in order to ensure our client’s optimum level of satisfaction and confidence,” added Ms. Chanpen Tawoncharoenpon, Director of Asset Services at CBRE Thailand.

CBRE Thailand currently manages offices, retail, condominiums, apartments, and villas in Bangkok, Phuket and Samui. For the sixth year in a row, National Real Estate Investor, the leading magazine for professional real estate investors, has ranked CBRE No. 1 out of the world’s top 25 property managers. The ranking is based on the total amount of space under management globally each year. As of 31 December 2008, CBRE was responsible for the management of 220 million square metres.

Presentation of Management Agreement

- END -

About CB Richard Ellis
CB Richard Ellis Group, Inc. (NYSE:CBG), a Fortune 500 and S&P 500 company headquartered in Los Angeles, is the world’s largest commercial real estate services firm (in terms of 2008 revenue). The Company has approximately 30,000 employees (excluding affiliates), and serves real estate owners, investors and occupiers through more than 300 offices (excluding affiliates) worldwide. CB Richard Ellis has been named a BusinessWeek 50 “best in class” company for three years in a row.

CB Richard Ellis established an office in Bangkok in 1988, followed by Phuket office in 2004, and Samui office in 2007. CB Richard Ellis (Thailand) Co., Ltd. has grown to be a leading real estate services provider, offering strategic advice and execution for sales and leasing for all types of property, property and facilities management, valuation and advisory, and research and consulting. For more information, visit the company’s website at www.cbre.co.th.