Ideo Sukhumvit 93 is one of three new joint-venture projects of Mitsui Fudosan and Ananda Development Plc.

Mitsui Fudosan, a Japanese real estate developer, is looking to expand into logistics and warehouse development after taking a first step in Thailand's property market with a high-rise condominium project.

Executive managing officer Akihiko Funaoka said the group is interested in investing in logistics in Thailand because of its advantageous location in Asean.

"Besides the Thai market, we will tap into the opportunities offered by rapidly growing Asean economies," he said.

"We set up our office in Bangkok in March to study the local market for any areas we can explore. This office is the second one after Mitsui in Singapore was established some years ago."

The company, through its regional headquarters in Singapore's Mitsui Fudosan Asia Pte, made its foray into Thailand in 2013, teaming up SET-listed developer Ananda Development.

The partners have set up several joint-venture firms including Mitsui Fudosan Co and Mitsui Fudosan Residential Co.

"We will partner with Ananda, but if it is not interested, we will look for other companies," said Mr Funaoka. "We are also interested in developing a retail business as Thai people love shopping while serviced apartments and residential property for rent are our interest."

By the end of the year, its venture with Ananda of 12 projects will have a sales value totalling 57 billion baht.

Of this amount, nine sites worth a combined 45 billion baht were already launched and the remaining three projects worth 12 billion baht will be launched in the fourth quarter.

This year it will start its first revenue from the joint venture in Thailand with the 6.77-billion-baht Ideo Q Chula Samyan project in the fourth quarter.

It will realise revenue from five other joint-venture projects worth a combined 15 billion baht next year.

Investment in Thailand is part of Mitsui Fudosan's overseas budget investment of ¥183 billion.

The budget has been set for investing in eight countries including the US, Britain, China, Taiwan, Singapore, Malaysia, Indonesia and Thailand during 2015-17.

Of the amount, 70-80% has been earmarked for Western countries and the rest for Asia.

In the US and Britain, it invested in office buildings, serviced apartments and condominiums. In China and Malaysia, it invested in condominiums and outlets. In Singapore, it invested in condos and hotels and invested in outlets in Taiwan.

Mitsui Fudosan is not only the Japanese company that is expanding into Southeast Asia. Mitsubishi Estate Group is another Japanese developer investing in Thailand's residential market. It has a joint venture with SET-listed developer AP Thailand Plc.

Tomohiko Eguchi, general manager for international business at Mitsubishi Jisho Residence Co Ltd, said the company's joint venture with AP has eight projects worth a combined 24 billion baht since 2014.