A block of land in Sukhumvit 24 has sold for two million baht per square wah (four square metres), but real estate consultants say it is an unusually high price and the market has not yet reached that level.
The price of land in Sukhumit 24 has soared to two million baht per square wah. (Google Map photo)
Kulwadee Sawangsri, executive director of investment and land services at CBRE Thailand, said the record price was for an access way to a location, which jacked up the cost.
She said the price along Sukhumvit for land adjacent to the road and suitable for condominium development may reach two million baht a sq wah in the next three years or so.
She said the average price of land on Sukhumvit rose 488% over the past 10 years, from 255,000 baht per sq wah in 2002 and to 1.5 million baht in 2012.
Chana Nuntachankul, managing director of Century 21 Realty Affiliates (Thailand) said it is possible that land in Sukhumvit may rise to 2 million baht per sq wah next year. The company has already worked on selling at 1.8 million baht.
He said the price in this zone rose swiftly because of the limited land available and the satisfaction between seller and buyer.
In addition to Sukhumvit, the CBRE's record of its land transactions in about a 10 year period indicated that the second highest land price rise was in the Ploenchit to Lumpini area where the price per square wah rose 316% from 360,000 baht to 1.5 million baht, while land in Silom- Sathorn rose 290% from 270,000 baht to 1.05 million baht.
Price of land in Phaya Thai and Phahon Yothin rose by 260% from around 167,000 baht to 900,000 million baht and those in Ratchada rose by 250% from 200,000 baht to 700,000 baht.