Summary · why it matters
PTT Oil and Retail Business Public Company Limited, or OR, is pressing ahead with its budget hotel business through a joint venture, Pit Stop Hotel Company Limited, in which OR holds 49% and Centara Hotels and Resorts holds 51%. The project has total investment value of approximately 706 million baht, split between 346 million baht from Modulus Ventures within the OR group and 360 million baht from Centara. The first phase will pilot six model hotels in Phuket, Kanchanaburi, Phra Nakhon Si Ayutthaya, Songkhla (Hat Yai), Chonburi and Bangkok. The pilot branches will gradually open starting in the third quarter of 2027, beginning with Kanchanaburi, Rojana Industrial Park and Hat Yai Airport, which are already under construction. In the second quarter of 2028, openings will follow in Bangkok's Don Mueang area opposite Terminal 2 near the Red Line station, Phuket Airport, and the Jomtien Beach intersection in Pattaya, which are currently undergoing environmental impact assessment. Miss Rajsuda Rungsiyakull, Senior Executive Vice President of Special Business at OR, said room rates start at 800 to 1,300 baht per night. She estimated the budget hotel market will grow about 7.3% from 2023 to 2028, with an EBITDA margin of roughly 40-45% and EBIT of about 20%. The payback period is expected to be around 7-10 years, with a target occupancy rate of approximately 75-80%, and the company aims to expand to 50 locations by 2031, both inside and outside service stations. It will start with the COCO model at the first six branches before expanding into franchising and hotel management services. Mom Luang Pichthong Thongyai, Chief Executive Officer of OR, said that by 2031 service stations will increase from 2,300 to 2,800, and daily customers will rise to 5 million from 3.9 million per day at present. The business aligns with the Asset Optimization strategy, which uses vacant space within the PTT Station network to create added value, driving the OR network toward becoming A Must-stop Destination.
PTT Oil and Retail Business Public Company Limited