Rise in land prices, not speculation, is afoot
A saleswoman provides details of a condominium project to potential customers. Experts believe a bubble in the property sector is unlikely. PATTARACHAI PREECHAPANICH
Thailand’s property market is far from being a bubble, although prices, particularly for the condominium segment, have risen significantly in the last few years, say multiple experts.
Surachet Kongcheep, associate director of the research department at property consultant Colliers International Thailand, said prices of residential units in Bangkok have yet to exceed homebuyers’ ability to pay, as there is plenty of available supply in the market. Continue reading Experts downplay talk of a property bubble
New residential units in Greater Bangkok are expected to increase by 3-5% this year as the government revs up its budget disbursement and construction of new mass transit lines.
Samma Kitsin, director-general of the Real Estate Information Center (REIC), said residential property, especially for housing projects, is expected to fully recover by June this year, although condominiums might drop slightly.
“A key driver is mass transit projects such as the Purple Line from Bang Yai to Bang Sue, which will become operational early next year,” he said. Continue reading Housing projects gain ground while condos fade, says REIC
SET-listed property developer Property Perfect Plc (PF) plans 23.4 billion baht worth of new residential projects in the western part of Greater Bangkok.
The developments will benefit from the government’s new transport networks and private-sector retail projects worth 237 billion baht planned for the area.
Wongsakorn Prasitvipat, the company’s deputy chief business development officer, said western Greater Bangkok would experience a dramatic change in the coming years. Continue reading Property Perfect looks west
Home building facing triple whammy in 2014
The labour shortage, economic slowdown and political turmoil will continue to weaken the overall homebuilding market this year, with expected expansion of only 7% to 11.5 billion baht, below usual growth of 10%, says the Home Builder Association (HBA).
President Wisit Monaiyapong said a labour shortage has been the major problem in the construction sector since wages rose in April 2012. The problem continued in 2013 and remains potent this year.
The economic slowdown since mid-2013 has also weakened consumers’ confidence and purchasing power, but worst of all was the political crisis that started last November in the high season for homebuilding and housing sales. Continue reading Homebuilding facing triple whammy in 2014
City’s condominium sector still seeing strong growth
Prices in the central business district (CBD) areas continued to grow as major development sites became scarce, according to HipFlat, a real-estate search portal.
It said condo price rises were mainly driven by increasing land prices that pushed development costs and unit prices.
Demand also showed stable growth in downtown locations, while rental rates were strong in the CBD, especially in locations near mass transit links.
The resilience is well demonstrated by long-term market growth in Bangkok. Continue reading City’s condominium sector still seeing strong growth
Now BTS Skytrain reached very near to Metro Park
Wutthakat and Bang Wa stations have been built on a 2.2-kilometre extended section of the BTS Silom Line, that links Thon Buri in western Bangkok to the business areas of Sathon and Silom.
Now can get off at Wutthakat station and get a ride in shuttle van of metro park, which cost 20 Baht per person and it is less then a half kilometer distance.
Central Bangkok condo launches leap in Q3
Bangkok’s central business district (CBD) condo market recorded a rise in third-quarter launches with 2,440 units, compared with 1,600 in the second quarter.
Despite warnings of rising household debt in the overall economy, developers continued to show modest confidence in homebuyer appetite by launching new projects before the year-end festivities, which take place over what is usually a quieter period for housing activity, according to property consultant DTZ.
The central zone _ Chidlom, Phloenchit, Ratchadamri, Rama I, Sam Yan and Ratchathewi _ was especially active with four project launches, accounting for 71% (1,700 units) of total launches in the third quarter. Continue reading Central Bangkok condo launches leap in Q3
BTS Group boosting dividend to B6bn and beyond
Back at home, Bangkok Mass Transit System Plc, the BTS subsidiary and skytrain operator, has received five Chinese-made four-car trains to be used on the 5.3-kilometre extension of the Silom Line from Wong Wian Yai to Bang Wa.
Made by Changchun Railway Vehicles Co, the 20 carriages worth 1.2 billion baht have arrived at Laem Chabang port and should begin trial runs on Dec 5, said chief operating officer Surapong Laoha-Unya.
Continue reading BTS Group boosting dividend to B6bn and beyond