Resale prices of Bangkok riverside condos soar due to rising demand, limited supply

Real Estate May 09, 2014 00:00

By Somluck Srimalee
The Nation

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Resale prices of riverside condominiums in the Rama III-Ratchaburana area have more than doubled in recent years, thanks to rising demand for homes located close to the Chao Phraya.

A survey carried out by The Nation early this week found that resale prices in riverside condominium projects launched over the past five years now averaged Bt90,000 per square metre, against an average of Bt40,000 at the time of presales. 
The sharp rise is due to the limited number of new residential projects being launched close to the capital’s river.
Popular residential locations close to the Chao Phraya include Charoen Krung, Rama III, Ratchaburana and Charoen Nakorn.
At present, these areas have just 10 new condominium projects for sale, which has resulted in strong resale demand in mature projects.
According to the survey, condominiums on Rama III have resale prices of between Bt75,000 and Bt190,000 per square metre this year, compared with their presale prices of Bt60,000- Bt70,000 per square metre three years ago.
The River condominium project by Raimon Land currently offers a price of Bt140,000 per square metre, versus a presale price of Bt90,000 per square metre in 2007. 
Meanwhile, the Pano by Krungthep Land offers units at Bt120,000 per square metre, up 20 per cent from Bt100,000 when the project was launched in 2011.
Kana Riverfront Rama 3, launched by Kanaphaya Property early this year at Bt175,000 per square metre, now fetches Bt190,000 per square metre.
Chapter One Ratchburana by Pruksa Real Estate is now on offer for Bt90,000 per square metre, more than double the presale level of Bt40,000 last year.
“Limited land supply close to the river drives residential prices near the Chao Phraya, with prices rising in line with growing demand,” said Pruksa’s managing director for condominiums, Prasert Taedullayasatit, who is also president of the Thai Condominium Association.