Bangkok has become a new hub for investment in luxury properties, driven by the capital city’s incomparable quality of life, endless shopping and leisure activities, coupled with purchase prices considerably lower than in Singapore, Hong Kong, Shanghai, Beijing, Taiwan, London, Paris or New York.
From 2012-2013, this boom in demand from wealthy Thai and foreign investors for world-class condominiums and penthouses has led local and international property developers to dramatically increase their luxury and super-luxury offerings, primarily focusing on the Sukhumvit and Lumpini/Ploenchit areas, and in more recent years, on the Sathorn/Silom and Riverside districts.
Meanwhile, property prices have jumped from 200,000-300,000 THB / sqm (6,500-10,000 USD) for the first luxury and super-luxury condominiums completed in the City of Angels (e.g., Royce Private Residence, Sukhothai Residence, The River, Park Chidlom, etc.), to 400,000-600,000 THB / sqm (13,000-20,000 USD) for the most recent and exclusive residences including the Marque, Ritz-Carlton, 98 Wireless, Diplomat, Mandarin Residence, Tela, and Four Seasons.
The prices of new projects are expected to continue increasing in the coming years with the progressive catch-up of Bangkok luxury real estate with its Asian peers. As of Q4 2018, Hong Kong’s super-luxury properties were still 5 to 6 times pricier than in Bangkok, and Singapore’s 3 to 4 times. More super-luxury projects are in development in Sukhumvit and in Lumpini-Sathorn, with One Bangkok - the largest-ever integrated property development in Thailand - due to complete in 2022.
Foreign buyers account for approximately 40% of the luxury and super-luxury market , Asian countries (mostly Hong Kong, Singapore, China, Taiwan and Malaysia) being the largest contingent (circa 2/3), followed by Europeans, Americans, Canadians and Australians.
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Note: Foreigners can purchase condominium units in Thailand within the limit of 49% of the total built-up space of each condominium in accordance with the 1992 Condominium Act - senseproperty.com/guide-to-buying-property-in-thailand.