High-end & Super Prime Property Market Keeps Growing
As mentioned earlier this year, the high-end market is doing really well in Bangkok despite the sluggish economy mostly affecting the low-to-mid segment. Especially the super prime market who is attracting even more Ultra High Net Worth Individuals (UHNWI) to the capital.
As of now, there are about 1,541 units in super prime condominiums in Bangkok. It is a terrific growth compared to the only 196 units back in 2008 when the city saw its first super prime condominium project being built: The Sukhothai Residences.
These properties are always located in Bangkok’s most prime locations, close to international schools, renowned international hospitals, and high-end shopping and dining areas.
The average selling price for super prime condominiums has jumped from THB 184,000 per sq.m. to over THB 400,000 per sq.m today, according to Frank Khan, Head of Residential Department at Knight Frank Thailand. The scarcity of land plots available in Sukhumvit, Sathorn and Silom is mainly responsible for such price increase since property developers have to build luxury condominiums to bear the land costs.
Frank added: “Whatever project is coming in these areas, it would have to be high-end, superb, super prime condominiums, making the prices extremely high”.
The advent of the Asean Economic Community (AEC) in late 2015 shall certainly not affect the super luxury market. In fact, the opening of borders should drive more expats to relocate in Bangkok, therefore making them either purchase or rent prime condominiums in the city.