Record-breaking land prices in Bangkok’s central business district have led to unprecedentedly high prices for new luxury condominiums, according to real estate consultant Property DNA.
“This year, we’ve witnessed a surge in the introduction of new condo projects priced at over a quarter million baht per square meter, a rarity compared to 2019,” stated Surachet Kongcheep, managing director of the firm.
These ultra-luxurious condo developments are situated in prime areas such as Rama I, Phloen Chit, Wireless Road, Silom, Sathorn, Rama IV, specific segments of Sukhumvit Road, and along the Chao Phraya River.
Despite the steep prices, buyers are swiftly purchasing these units, with some projects reporting booking rates ranging from 65% to 85%.
High-rise condos near Lumpini Park are particularly sought after due to their rare views of the city’s green space. The absence of nearby train stations isn’t a deterrent, as many buyers prioritize privacy over convenience.
Surachet also forecasted that prices for new luxury condos will soon reach up to 600 million baht per unit, as major developers pay record prices for vacant plots in prime CBD locations.
An example of this trend is Sansiri Plc’s acquisition in 2020 of a 1 rai (1,600sqm) plot on Sarasin Road for 1.56 billion baht, setting a new record for land prices in Thailand. The company plans to develop a high-end condo on the site.
Property DNA also anticipates that affluent buyers will seize the opportunity to purchase luxury condos in mixed-use projects such as One Bangkok on Wireless Road and Dusit Central Park on Rama IV Road.
“Both Thai and foreign buyers have already displayed interest in these projects, even before official sales have commenced,” Surachet remarked. “Developers have also partnered with operators of five-star hotels to oversee these projects, further enhancing their value and prices.”
Source: The Nation
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