Midtown area attracts condo buyers

Midtown area attracts condo buyers

The general view of Ratchadapisek Road which is now popular among condominium buyers. (Bangkok Post file photo)
The general view of Ratchadapisek Road which is now popular among condominium buyers. (Bangkok Post file photo)

Condo demand in Bangkok's midtown locations including Ratchadaphisek-Rama IX-Lat Phrao, Phaya Thai–Phahon Yothin, Phetchaburi Road and Rama III Road remains healthy with sales rates of more than 85%, says property consultant Knight Frank Chartered (Thailand).

Risinee Sarikaputra, director of research and consultancy, said Bangkok's midtown area was an alternative location for urban condo buyers due to its proximity to shopping centres and transport links.

The hottest location is the Ratchadaphisek-Rama IX-Lat Phrao area, which seems to be a new hotspot for commercial, residential and tourism–related projects.

In the past five years, this area has undergone many changes including seamless access to a mass-transit line and connectivity to major roads, which has encouraged robust expansion in every property segment.

The launch of CentralPlaza Grand Rama IX further boosted convenience for people who work or live in this area.

From 2009 to the first half of this year, accumulated condo supply along Ratchadaphisek-Rama IX-Lat Phrao totalled 41,370 units, with 35,881 sold for a sales rate of 86.7%.

Another interesting area was Phaya Thai–Phahon Yothin with a supply of 13,595 units, with 11,674 sold for a sales rate of 85.9%.

The area also saw many office developments including Pruksa Real Estate Plc's new office building, Pearl Bangkok, for its own use.

The 25-storey building is located near Phahon Yothin Soi 5, with an office area of 30,000 square metres.

On Phahon Yothin Road, a new office building, Shinawatra Tower 4, is being developed by SC Asset Corporation Plc, next to Shinawatra Tower 1.

The 24-storey building will have a net lettable area of 10,000 sq m.

"Completion of these two office buildings will increase condo demand in the area," Ms Risinee said.

Phetchaburi Road's condo supply totalled 6,021 units, with 5,244 sold at a sales rate of 87%.

With proximity to the Sukhumvit area, this location started to witness condo development in 2008.

The road will become more attractive with a new mixed-use project, the Singha Complex, being developed by Singha Estate Plc on 11 rai of land.

It will consist of an office tower, convention hall, retail space and a hotel.

On Rama III Road, most condo projects were in the grade C category, with 5,334 units accounting for 66.4% of supply in the area.

Grade B condos totalled 2,096 units (26.1%), while grade A condos comprised only 608 units (7.6%).

Grade C condos on Rama III Road had the highest demand, with 4,863 units sold at a 91.2% sales rate.

Grade B condo demand was 1,715 units with a sales rate of 81.8%, while grade A demand was only 406 units with a sales rate of 66.8%.

Ms Risinee said the average selling price of new midtown condos was 126,369 baht per sq m.

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