Condominium developers are urging the Bangkok Metropolitan Administration (BMA) to speed up amending car park requirements for projects along the mass transit systems.
Thamrong Panyasakulwong, president of the Thai Condominium Association (TCA), said this would benefit condominium buyers, as easing municipal requirements for car parks would increase the saleable area of condos while reducing their selling prices.
"Car parks generally account for 25% of total construction costs and are a hidden cost in a condo unit's price. If the requirements are eased or even lifted altogether, that would shave 10% off the selling price of a unit," said Mr Thamrong.
He was speaking at yesterday's opening of the 27th House & Condo Fair, which runs until Sunday at the Queen Sirikit National Convention Center.
A newly constructed condominium building in Bangkok is required to have one parking space for every 120 square metres of construction area.
Mr Thamrong said the Public Works Department came up with an initiative a couple of years ago for owners of buildings along the city's mass transit lines to reduce or eliminate car parking spaces.
The measure was included in a legal amendment proposed by City Hall.
The plan was intended to dissuade motorists from bringing their vehicles into town but could also deprive condo owners of private car parks and office buildings of customer or tenant parking.
The department last year met with the TCA, the Engineering Institute of Thailand and the Association of Siamese Architects to discuss the proposal, but it was postponed after the BMA became busy with the city's flood crisis.
"Amid soaring land prices in prime locations and stricter rules of city planning to control high-rise building construction, condominium prices could be lower if the parking rules were eased or scrapped," said Mr Thamrong.
"There should be no car parking space requirements for any building type. Building owners should be allowed to decide for themselves whether to include parking."
Kittipol Pramoj Na Ayudhya, president of the Thai Real Estate Association, urged the government to amend lease periods ahead of the upcoming Asean Economic Community (AEC) in 2015.
"The present 30-year maximum on leases should be extended to 50 years or more, or else Thailand stands to lose competitiveness under the AEC. Other countries including Myanmar have extended lease periods to make them more attractive to foreign buyers.
Issara Boonyoung, president of the Housing Business Association, said concerns about flooding in Greater Bangkok have eased since the absence of new floods this month.
About the author
- Writer: Kanana Katharangsiporn
Position: Business Reporter