Bangkok Offices Reach All-time High Rental Prices
In fact, Real estate firm JLL reported that in June 2014, Bangkok offices rental prices have recorded an all-time high record with average gross monthly rents of 475THB/sqm, and 739THB/sqm in prime buildings located in the CBD.
Also, a few office buildings located in the most exclusive locations of Bangkok are even renting their offices between 900THB/sqm and 1,300THB/sqm.
Considering the second half of 2014, JLL reported that there are three main office development projected that are expected to reach completion, including SJ Infinite 1 (formerly Equinox Phahol-Vibha) on a corner of the Phaholyothin-Vibhavadee intersection, AIA Capital Center at the MRT Thailand Cultural Centre station and Bhiraj Tower at the BTS Phrom Phong station, which will bring the total office supply to 8.31million sqm.
“With a more stable and predictable political situation in recent months, business sentiments in Thailand have improved, which will likely stimulate demand for offices in Bangkok that was pent up in the first half of 2014. This, coupled with tight supply, will allow office rents to rise further in the remainder of the year,” concluded Yupa Sathienpabayut, Director of Office Leasing at JLL.