Thailand Real Estate

Aquarius Estate co is planning to develop a new condominium block next month on Soi49 Sukhumvit. The projected worth of the condominium block has been set at more than 1.2 million baht or just over 35 million dollars in real terms. The project has been funded by investors and partly by financial institutions. The site on which this new condominium block will be built has been designed for a land size of one and a half Rai of land and they estimate that the sale price for a square meter for a condominium would be just over 100,000 Baht (USD 3,000).

The last project from Aquarius Estate was the Koh Samui condominium and hotel which was completed last month at a cost of 600 million baht. Buyers into the Samui project was a mixture of both Thai and foreign buyers and the company guarantees a ROI (return on investment) of 6% per annum on the properties they manage on the Samui project. The company is applying for a hotel licence to operate under its Shasa Hotel brand, with room rates ranging between 26,000 and 70,000 baht a night. Occupancy for July was 80%.

"Condominium development has changed from a location focus to good product and property management," said Mr Yongyutt. "Buying real estate means a good return, not only a dream house." Property in Thailand is bucking the trend globally as can be seen from the figures released for the first part of this year. 41 new condominiums were launched in inner Bangkok with a total of 14,000 units, of which 160 were in the grade A category and priced from 140,000 baht per sq m. A total of 1,180 units were grade B+ (80,000 to 120,000 bat per sq m), 5,000 units grade B (70,000 to 100,000 baht) and 7,700 units grade C (50,000 to 80,000 baht).