Thailand: The Heights Phuket Condominium Celebrates Completion

Luxury property developer, Raimon Land, recently celebrated the completion and opening of its award-winning The Heights Phuket condominium development on Phuket Island.

Construction of the exclusive 51 condominium units nestled atop a hillside overlooking Kata Beach was successfully completed on time and to specification. With an overall value of THB 1,205 million, The Heights is one of a few completed luxury projects still with availability on Phuket. The fast-selling project is 90% sold-out, with just five units available with prices ranging between THB 21,365,373 and THB 41,413,840.

Raimon Land Chief Executive Officer, Hubert Viriot, said: "The Heights provides an excellent example of the superb residences currently available through Raimon Land and I am certain this development will provide our owners with the long term value they expect from our company's projects."

The Heights, which won the Best Condo Development (Phuket) at the Thailand Property Awards 2008 and offers commanding views of Kata Bay, is designed to complement the site is established lush garden environment and embraces pioneering technologies and systems to minimize carbon emissions.

In a difficult sales climate, The Heights Phuket is one of a few in recent times who have built-out and delivered to buyers. More developments on Phuket are scheduled to be completed this year, but many delays are expected as buyers for the unsold units are scarce, currently.

Thailand: Townhouses trump condos as hot trend

Townhouses will lead Bangkok's new residential supply this year as they best fit current purchasing power as an alternative to condominiums, says Samma Kitsin, director-general of the Real Estate Information Center (REIC).

"Due to the sluggish economy, developers have shifted to townhouses as they expect more real demand than from condominiums. One-third of condo purchases are for investment or speculation," he said.

Developers also believe the condominium market has almost reached maturity, with a glut of units recently completed.

Mr Samma said low-rise development (townhouses or single houses) was still the first choice for the general public, but condominiums had played a larger role the past few years due to rocketing oil prices, as people sought to live closer to their workplaces.

Townhouses are also favoured in a weak economy over single houses.

After freezing townhouse development since the 1997 financial crisis, MK Real Estate Plc plans to resume building them by the third quarter.

The prospective blossoming of townhouses in Bangkok can be seen by the number of land allotment permits during the first quarter.

According to the Lands Department, there were 22 permits in the quarter for 3,678 units. Of the total, 66% were townhouses (2,429 units), followed by single houses (760 or 20.7%), land plots (215 or 5.8%), duplex houses (180 or 4.9%) and buildings or shophouses with 94 (2.6%).

The 22 permits were held by 18 different developers, including Preuksa Real Estate, Land & Houses, Sansiri and Noble Development with two each.

From the figures, Mr Samma forecasts that townhouses will dominate Bangkok's residential market from the second half of 2009 until the first half of 2010.

He said many new transport networks such as the outer ring road and expressways opened fresh locations for townhouses. Lower fuel prices, down 35% from a peak in mid-2008, mean travel cost is less of a deterrent for buyers.

"New roads will trigger medium- to lower-priced townhouses while [locations near] BTS and MRT stations will be for high-priced townhouses," he said.

Land allotment permits from the first quarter suggest the hottest locations were Bang Khun Thien with 442 units from a local developer, Praves with 408 units from Noble, Nong Khaem with 368 units from PS and a local developer, Don Mueang with 365 units from PS and a local developer, and Min Buri with 351 units from two local developers.

By KANANA KATHARANGSIPORN
Bangkok Post