Builders Heat up Luxury Segment
Struggling with huge glut and weak purchasing power, firms turn to millionaires for sale
After a slow start, developers are clamoring to sell before a midyear deadline for tax breaks on home sales arrives.
But luxury builders are also competing for buyers with new site. A few are seeking to break records.
Sansiri’s 98 Wireless has set prices between Bt550,000 and Bt600,000 per square metre. Its smallest unit is Bt60 million.
Sansiri CEC Apichart Chutrakul says he is confident it can find billionaires to purchase its 77 units.
At the same time, Pace Development CEO Sorapoj Techakraisri reveals 80 MahaSamutr villas in Hua Hin. They start at Bt50 million.
Singha Estate recently launched detached homes on Pradit Manuthum Road. Its 24 units start at Bt150 million.
Ananda CEO Chanond Ruangkritya is selling Ashton Silom, with price starting at Bt7.9 million.
The 48-storey building will house 428 units. They range from 31 square metres to 86 square metres.
Property agency CBRE Thailand says the office market and luxury residential market should prove resilient this year.
Areeya Property is planning two condos, one along Rajadamri and Sukhumvit 53 worth Bt11 billion
The Rajadamri condo houses 400 unit while the Sukhumvit site has 100 units.
Pace is also seeking a prime plots on Narathivat Rajanakarin for a high-end project after success of Nimit Langsuan.
Aliwassa Pathnadabutr, CBRE’s managing director, say prices are likely to keep rising for plots in prime locations.
“Land prices in the CBD may set a new record this year,” she says. “We may see Bt2 million per square wah within the first half of this year,” she says.
The existing record stands at Bt1.9 million per square wah at Chit Lom near the BTS station in a deal last year.
In 2014, a buyer paid Bt1.7 million per square wah for land near Nana station.
Since prices peaked last year, however, such sites have fallen silent.
Source: The Nation – 31 March 2016