Sale of Beachfront Land in Phang Nga
Client Represented: Ocean Breeze Estate
Location: Layan Phuket, Thailand
Topline: Remedy of swimming pool leakage saved over 50% on repair cost including reduced water bills and pool chemicals cost by 35%-40%
CBRE’s Resort Land Services was asked to advise on the sales strategy to dispose of 50 rai of beachfront land in Phang Nga in the shortest possible timeframe and to achieve a fully paid and completed transaction at the best possible price.
The vendor was concerned to avoid time wasting or protracted negotiations or tying the property into an extended period of due diligence through optioning the land.
To advise our client on a realistic price, we inspected the site, analyzed its potential and reviewed title documents.
Our team faced an additional challenge and a potentially deal-breaking issue which emerged during legal due diligence, when the vendor discovered that a key document relating to the history of land use was missing and a copy could not be provided by the government’s Land Department.
Pricing & Marketing Strategy
The Resort Land Services’ experience in selling beachfront land in Phang Nga gives us the most comprehensive knowledge of the latest prices and direct access to data on potential purchasers. The team is also supported by expert data from our Research and Valuation departments who carry out many in-depth research reports and assessments of the Thai real estate market.
Based on this experience and knowledge, we advised our client, the vendor, on a realistic market value of the land. We then recommended a realistic fixed price strategy which would avoid protracted negotiations which could delay the completion of the land transaction.
After identifying suitable potential purchasers from our extensive database of investors and drawing on our various connections in the Thai real estate business, we proceeded to market the land site directly to a small number of pre-qualified investors.
Using all our team’s experience in dealing with complex land title and ownership issues and working with the vendor’s and purchaser’s legal advisors, we investigated the supplementary documents to locate references as valid proof of the freehold Chanote title to the land.
This critical evidence ultimately ensured that the identified purchaser felt comfortable to purchase the land.
The sale & purchase contract to acquire the site was signed by a private property fund within one month after conducting the marketing campaign.
We achieved the sale of this beachfront land at the asking price to the property fund and completed the transaction within two months, having resolved a deal-breaking due diligence issue.