The Thai real estate group controlled by billionaire Charoen Sirivadhanabhakdi has delayed a plan to raise at least 25 billion baht ($780 million) from selling a property fund to the public, fund manager Krung Thai Asset Management (KTAM) said.

The offer of the Thai Hotel Investment Fund will be postponed to the first quarter of 2014 from the end of this year, mainly due to regulatory process and unfavourable market conditions brought about by Thailand's political troubles.

Last week Prime Minister Yingluck Shinawatra called a snap election for Feb. 2. She remains caretaker prime minister but protesters want her to go now, with political reforms pushed through before any election.

"The current political situation has psychological impact on investor interest especially retailers," Chavinda Hanratanakool, senior executive vice president for property funds at KTAM, told reporters on late Monday.

"In the first quarter next year, all problems should be resolved," she said, adding the fund manager has already submitted filing about the fund offer to the Securities and Exchange Commission.

The size of the fund was reduced from an initial 32 billion baht, and assets to be transferred to the fund will include 12 hotels in Bangkok and major tourist cities such as Phuket, Chiang Mai and Samui.

Earlier this month, Thailand's largest shopping mall developer, Central Pattana, indefinitely postponed its plans to raise 8.86 billion baht through selling units of its property fund due to political violence in Bangkok.

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