Knight Frank predicts steady demand growth

Property agency Knight Frank Charter (Thailand) will sign a contract to be the sales agent for two highrise condominium projects worth Bt4 billion in the second half of this year, the company's managing director Phanom Kanjanathiemthao said.

The company is presently an advis¬er and sales agent for six residential projects, worth Bt16 billion, in Bangkok, Rayong, Hua Hin district in Prachuap Khiri Khan province, Chaam district in Phetchaburi and Sri Racha district in Chon Buri.

The projects in Bangkok include two condominium complexes - My Resort Bangkok and DLV Thonglor 20. Its four upcountry projects include Boathouse Hua Hin, Baan Chan Talay at Chaam, Phupatara in Rayong and Grand Peaks Sri Racha.

Phanom said demand for condo¬miniums in Bangkok and beach des¬tinations have strong growth poten¬tial according to the company's research.

Sales of new condominium proj¬ects hit 15,000 units in the first half of the year.

"Although the price of condomini¬ums is likely to rise between 5 and 10 per cent, following the rise in con¬struction costs, it will not affect a buyer's purchasing power, especially for proj¬ects located close to the sky train or underground train. Buyers believe they can still reduce their transportation costs in the long term," he said.

With strong demand for city con¬dominiums located close to train sta¬tions, land prices in Sukhumvit from Phra Khanong station to Bang Na junction have increased from Bt100,000 per square wah in 2006 to between Bt200,000 and Bt250,000 per square wah this year.