Mixed-use development is booming in one of the city’s prized neighborhoods.
The vibrant Ari-Phahon Yothin neighborhood in Bangkok is being transformed into the newest center for mixed-use developments that include office space and residences for people who are seeking a quality urban living experience.
Along the two-kilometer section from the Ari to the Saphan Khwai BTS stations, in particular, government premises, office buildings, and mixed-use developments have been going up, surrounded by abundant facilities for all lifestyle needs — community malls and department stores, hospitals, eateries, coffee shops and more. Easy to access by foot or skytrain with short time traveling in- or outbound, it’s become the desired location for everyone to move in, and it’s rare that the original residents decide to move out.
Nalinrat Chareonsuphong, managing director of Nexus Property Marketing, the real estate consultant, said the Ari-Phahon Yothin area has high potential to become one of the capital’s next major locations for office space.
It’s already home to some prominent public and private office buildings such as Exim Bank, the headquarters of Government Savings Bank, the NBTC, Kasikornbank’s head office and AIS Tower, but also three brand-new Grade A office buildings: the 25-storey Pearl Bangkok; Ari Hill, the 34-storey mixed-use centre consisting of office space, retail and residential accommodation; and the 24-storey SC Tower. The three buildings are expected to be workplaces for a combined 6,050 people in total.
Moreover, Mrs. Nalinrat said, there are under-construction projects scheduled to be completed in the next few years: The Rice, a 2-billion-baht 24-storey mixed-use development, and Pruksa’s Vimutti Hospital, a 5-billion-baht healthcare project, both expected to open in 2020; and Vanich Place by Laemthong Corporation, a 31-storey office building and community mall set for completion in 2021.
“The continual rise of high-end skyscrapers underlines the fact that this area remains one of Bangkok’s CBDs,” she said, referring to central business districts. “Blending with the charming contemporary lifestyle, it beckons the new generations to move in.”
With its outstanding strength in ongoing developments of office buildings and high-end skyscrapers, plus an easy-to-commute location, Ari-Phahon Yothin has an opportunity to become a city residential center with growth in demand, supply, and prices.
Since 2013, more and more condominium projects have opened, both high-rise and low-rise. Out of 16 projects, 3,318 units were sold, or about 81%, Mrs. Nalinrat said.
Projects newly launched in the two years mainly had a sales rate exceeding 70%. High-end condos (110,000 to 190,000 baht per square meter) hold the biggest market share at 74% or 2,544 units of both high- and low-rise condos. The best-sellers of this cluster are projects with a selling price of 110,000 to 120,000 baht per sqm, mostly in the Inthamara neighborhood, while there is nothing with this selling price developed in Ari-Phahon Yothin. Thus the area is a potential marketing opportunity for the property industry.
“The market demand for low-rise condos in this zone is continually seen, as the price for a residence located in the heart of Bangkok, near the sky train stations, sounds reasonable and affordable,” Mrs. Nalinrat said. “Meanwhile, the selling price of high-rise condos is more expensive, due to the price of the land plot and its availability. Additionally, the advantage of a low-rise one is fewer units in each project, which could bring a vibe of privacy that exactly meets the demands of the modern urban life.”
She said that in the current fast-paced world, one of the most important matters is to have a home in town in a bid to reduce traveling hours and gain more leisure time in style.
Living in Ari-Phahon Yothin could bring homebuyers closer to that goal.