BTS route extension behind popularity
A total of 31 residential projects comprising 14,900 units and worth more than Bt50 billion have been launched since 2009 between Saphan Taksin and Talat Phlu Skytrain stations, according to a survey by the Real Estate Information Centre of Government Housing Bank.
REIC director-general Samma Kitsin said this area became more popular after the BTS route was extended from Saphan Taksin station to Wongwian Yai, especially in locations close to the Chao Phraya River.
The research also shows that after the extended route from Wongwian Yai to Talat Phlu opened last year, that also spurred new residential launches, especially condominium projects.
Of the 31 projects launched since 2009, 14 comprising 5,300 units will have be completed and transferred to customers as of this year. Eleven projects comprising 6,500 units are still under construction, but four of them are already sold out, while seven have sold more than 78 per cent of the total number of units.
Six projects comprising 3,100 units will start construction by the middle of this year. These six and those already under construction are expected to be complete and transferred to customers by 2018.
Of the 31 projects, 20 were developed by listed property firms, for 75 per cent of the units.
Most of the launches in this location are condominiums priced between Bt70,000 and Bt150,000 per square metre.
The growing popularity of this area has boosted land prices. Land appraised at an average of Bt215,000 per square wah (Bt53,750 per square metre) is going for Bt250,000-Bt400,000 per square wah.
Some land in the area is showing market prices of twice the appraised value. On Ratchaphruek Road, the appraised value is Bt90,000 per square wah but market prices are now between Bt100,000 and Bt250,000.
Petchkasem Road shows market prices of Bt160,000-Bt200,000 per square wah, 50-90 per cent higher than the appraisal price of Bt110,000 per square wah, the research found.