Appraisal Bangkok land prices from the Land Department are expected to rise by 15.8% on average from 2016 to 2019. Land plots located nearby both existing and upcoming BTS lines are thought to rise by a terrific 75% on average.
So far, and according to the Treasury Department, the areas expected to witness the highest increase in appraisal values are Chatuchak, Pha Khanong, Bang Kapi and Lat Phrao. However, central locations in Bangkok CBD have yet to see their forecasts be completed.
Appraisal land prices happen to be about 30% lower on average than actual land selling prices, but the gap sometimes goes way beyond that. for instance in 2015, a land in the Chidlom area was bought by a property developer for THB1.91 million per sq.w when its actual appraisal price was set at THB1 million per sq.w.
Such continuous land prices increases have pushed developers – and especially the most renowned ones – to build high-end condominiums in Bangkok CBD often priced at 200,000 Baht ++per sq.m, yet enjoying a successful take-up rate (often higher than 60% on pre-launch date) by both Thai and foreign investors.