CBRE Identifies Charoen Nakhon as Hotspot Like CBD with Half Its Land Price
CBRE, a leading international real estate consultant, revealed that the residential development trend in 2020 will be driven by real demand and previously overlooked areas will become popular locations such as Charoen Nakhon Road on Thonburi side that currently receives high attention from property developers. There are many factors in 2020 that validate the Charoen Nakhon area as a "hotspot" at par with Bangkok’s central business district (CBD).
Aliwassa Pathnadabutr, Managing Director of CBRE Thailand, commented, “One of the key factors is the availability of large amenities and utilities. The opening of ICONSIAM, a large-scale world-renowned landmark that is recognised as a prototype of retail development pioneering a new concept, is accessible for customers who live nearby both Bangkok and Thonburi sides without having to travel to the city. Also, Charoen Nakhon is very close to the CBD areas of Sathorn and Silom, only separated by the Chao Phraya River".
In addition, the new mass transit line, BTS Gold Line (Krung Thon Buri BTS Station - Khlong San District Office - Saphan Phut) which connects the Bangkok and Thonburi sides, will provide more convenient transportation. The Saphan Taksin BTS Station will be renovated into a station with two platforms and a double track. The growth of the Charoen Nakhon area may be comparable to that of other areas on the Bangkok side. The main attraction of the Charoen Nakhon area is the lower price of its high-rise, high-end residential projects which are less than half of the price of similar projects in the CBD. The average selling price in Charoen Nakhon is in the range of THB100,000 - 150,000 per square metre. This indicates growth in every part of this area that has been forming and developing rapidly along this road.
According to a CBRE survey, in addition to the convenience of location, buyers still want to live close to nature, especially those living in a small unit wanting an open view. A river view becomes an added value for the high-rise residential developments in this area.
Moreover, there are communities with old cultures, temples and famous street food in the area. Its modern developments and old community culture that has been preserved make this area one of a few such locations in Bangkok and fulfil today’s urban lifestyle.
Another factor that validates Charoen Nakhon as a hotspot this year is the relocation of the Ministry of Interior's office from the Bangkok side to the riverside on Charoen Nakhon Road which shows the trend of the residential community development on this road in the next 3-5 years.
Ms. Aliwassa added that Charoen Nakorn does not have an oversupply situation for high-rise residential projects. In addition, the new transportation routes by car, rail and boat provide more convenience as well as bridges including Phra Buddha Yod Fa Bridge, Taksin Bridge and Krung Thep Bridge crossing the river. The BTS Gold Line that is currently under construction will also make travelling from the Thonburi side to Bangkok’s CBD even more convenient.
"Charoen Nakhon is a new location for condominium investment as prices are likely to grow further. We have seen evidences of price increases in many condominiums previously launched in the nearby area have increased. CBRE sees that Charoen Nakhon is a high potential location near CBD that will create a new trend in high-rise condominium development which are not always necessary to be close to a mass transit station. It is expected that the competition in this location will be intense from the beginning of this year onwards", concluded Ms. Aliwassa.
Looking for river view condominiums, please contact CBRE