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SCB provides construction finance for The Palm
From left: Birathon Kasemsri Na Ayudhaya (Partner),
Sommai Ungsrithong (SCB Commercial Banking), Rony Fineman and Winston Gale
(Partners/Developers) pose for a photo at a signing ceremony held, August
17, to complete the finance agreement for construction of The Palm luxury
development at Wongamat Beach.
On the 17th August 2012, developers of The Palm at
Wongamat Beach completed their Construction Finance Loan Agreement with Siam
Commercial Bank. SCB committed to an 800 million THB loan to The Palm to
assist in the construction of their 46 and 26 storey luxury project in North
Pattaya.
Winston Gale, (Partner/Developer) said: “It is a very positive milestone we
have reached today. Banking with SCB from the beginning, we have worked
closely together which has enabled them to provide us with the best
financial package that understood our requirements. Of course this is also
welcome news for our existing buyers who can now confidently see the
financial security this provides the project”.
The luxury development is now over 83% sold-out and has just completed the
piling stage of construction on both towers. Buyers eager to see a sight of
The Palm won’t have to wait too long as by year-end it is expected to be at
least up to the 10th floor.
‘Deal done’ - the signed
contracts are exchanged by Sommai Ungsrithong (SCB Commercial Banking),
left, and Winston Gale, Partner/Developer of The Palm.
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New Unixx show lounge opens in south Pattaya
The new Unixx
showroom is now open in south Pattaya.
Property developer Raimon Land held a weekend promotional
ceremony August 25-26 to official open its new, sparking onsite showroom
suite for the eagerly anticipated Unixx South Pattaya condominium project on
Pratumnak Hill.
Agents, potential buyers and members of the general
public were invited to come along and gain a snippet of the luxury lifestyle
that Unixx promises to bring to this part of the city.
Designed by HB Design, the same architectural firm
responsible for Northpoint, one of Raimon Land’s other standout Pattaya
projects, the Unixx South Pattaya development will offer distinctive modern
design and quality finishing within a more compact, smarter envelope.
Apartment layouts will include studios, one-bedroom and two-bedroom
configurations, with sizes ranging from 22-62 sq. meters. All units will
enjoy views over the Gulf of Thailand, Pattaya or Jomtien.
One of the project’s key design features will be the
resort-like facilities and amenities offering owners and their families a
relaxing escape from the hustle and bustle of city life. With plentiful and
thoughtfully designed amenities spread over four rai of gardens and tropical
vegetation, some of the offerings include multiple swimming pools, sports
and recreational facilities, children’s playground, secluded outdoor
barbecue areas and meditation pavilions for the exclusive usage of
condominium owners, to name a few.
The developers say Unixx South Pattaya is priced to
capture the market with individual unit prices starting from 1.6 million
baht. Construction is scheduled to begin soon with an expected completion by
2015.
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Nongkhai MP helps bless Kityada Pavilion project
Wasana Ruangkitsiriwat, MD of
Kityada Pavilion project, left, receives congratulations and good luck
wishes from Pattaya Issan Association President Jinjutha Phothisa, 2nd left,
and Dr. Pongpat Suthornchai and his wife Uraiwan.
A Nongkhai MP was on hand as Kityada Pavilion blessed the
land last month on which it plans to build an eight-story condominium
project.
Pongpat Suthornchai and Pattaya Issan Association
President Jinjutha Phothisa congratulated Nongkhai native Wasana
Ruangkitsiriwat, managing director for the Kityada Pavillion project Aug. 7
at the Na-Jomtien condominium’s sales office.
Uhtai Nanuyyamo, abbot of Pahuaylad Temple in Santom
Phoorua Loey led nine monks in performing the land-blessing ceremony.
Corners of the 3-rai plot were blessed as monks chanted the Chaiyamongkol
prayer.
An artist’s impression of the
completed Kityada Pavilion project.
After dining, guests poured holy water on the land where
211 units will rise later this month.
Plans call for three condo configurations, ranging from a
28 sq. meter one-bedroom to 56 sq. meter two-bedroom units. All are
furnished and the property offers a swimming pool, fitness center, park and
clubhouse starting from 854,000 baht.
For more information call 089-248-7321 or 082-977-6212. (by Pattaya
Mail)
Abbot Uhtai Nanuyyamo
sprinkles holy water on attendees during the blessing ceremony for the
project on August 7.
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Chezz Metro Life Condo project launched
Robert Collins, MD of Savills
(Thailand) Limited, centre left, shakes hands with Ekasith Ngampichet,
manager of Phaendinthong Development Co. Ltd, at the official opening of The
Chezz Metro Life Condo, August 16.
Phaendinthong Development Co. has launched its Chezz
Metro Life Condo, a 400 million baht project on Soi Yume, just 300m from Big
C Extra in central Pattaya.
Manager Ekasith Ngampichet and Robert Collins, managing
director of sales agency Savills (Thailand) Ltd. hosted the unveiling for
the media at the condominium’s sales office on Soi Yume on Aug. 16.
Spread over just 1.5 rai, the seven-story condo building
will offer 169 rooms in a U-shaped structure complete with trees, central
fountain and waterfall. Sales began in May and about 100 units have already
been sold, Ekasith said.
Chezz Metro Life offers four floorplans ranging from a 29
sq. meter studio to 60 sq. meter two-bedroom unit. Prices begin at 1.7
million baht. Construction is slated to begin at the end of the year and
will take around 18 months to complete.
For more information call 038-427-155-6.
(by Phasakorn Channgam)
An artist’s impression of the
new 169-unit development.
Room sizes will range from
29sqm studios to 60sqm two-bedroom units.
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Open house at
Grande Caribbean
Local
realtors mingle with sales staff at the Grande Caribbean agents’ day, held
August 25.
An agents’ day was held August 25 by the developers of
the Grande Caribbean condominium on Thappraya Road in south Pattaya, with
local realtors invited along to be kept informed of the projects latest
updates and sales promotions.
Uptake of the development has so far been phenomenal with
60% of the project sold within just a few short months since launch. Sales
manager Lawrence Knowles is in no doubt about the attraction of Grande
Caribbean to investors.
“There’s a lot of interest in Pattaya right now for
resort style complexes but our location makes us stand out from the crowd,”
said Lawrence. “Our units start from just 1.59M baht, which we think is very
reasonable when you take into account the location and facilities plus the
full furniture packages we are offering,” he added.
Grand Caribbean will offer a mix of high and low rise
buildings with stunning sea and pool views. Standard units range from 34.5 –
93.5sqm but due to its modular design they can be combined to suit a
customer’s wants. All units come fully furnished and are ready to move into.
“It really offers a turnkey solution for investors,” said
Lawrence.
For more information on the Grande Caribbean condominium, go to
www.grandecaribbeanpattaya.com.
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Kingdom Property seals major sponsorship deal with Royal Varuna Yacht Club
Nigel
Cornick, left, CEO of Kingdom Property, shakes hands with Royal Varuna Yacht
Club Commodore Simon Makinson, right, to cement the new sponsorship
agreement.
Kingdom Property has signed a major sponsorship deal with
the country’s most venerable sailing institution, Royal Varuna Yacht Club to
support Thailand’s young sailors of the future.
Kingdom Property Chief Executive Officer Nigel Cornick
and Royal Varuna Yacht Club Commodore Simon Makinson inked the agreement at
a glittering ‘Come To The Point’ party at the yacht club held Aug. 24, to
introduce Southpoint to Pattaya’s press and to a coterie of the dynamic
seaside town’s movers and shakers.
Royal Varuna Yacht Club, where His Majesty King Bhumibol
is the Patron of the Club, is a neighbour of Kingdom Property’s first
condominium development, Southpoint, at Pratumnak in South Pattaya.
Mr . Cornick said he was delighted to sign the one-year
deal as a Gold Sponsor of the club’s Junior Sailing, which he hoped would
become a long and ongoing relationship.
“The Royal Varuna Yacht Club is a true Thailand
institution. It represents both the amazing heritage and history of
Pratumnak and also the vibrant, family-friendly face of Pattaya today.
“By supporting the keen young sailors of the club’s
Junior Sailing division, we are also making a statement that we believe in
the future of this town, and of Pratumnak in particular, and that we are
here to stay.”
Royal Varuna Yacht Club Commodore Simon Makinson said he
was very happy to sign the sponsorship deal and to welcome Southpoint and
Kingdom Property to the Pratumnak neighbourhood, which he described as the
heart and soul of Pattaya.
“Nigel is a long-time friend of Varuna and we are
thrilled to see him back with Kingdom Property and to have him and his team
as part of the community,” Mr . Makinson said. “I say thank you not just
from myself but on behalf of the club and our Junior Sailors.”
Southpoint Pattaya is being built on a four rai freehold
plot on a lush green slope of Pratumnak Hill, just south of Bali Hai in
Pattaya City, an area currently undergoing a major transformation including
the development of a new marina.
The project, which will be opening for pre sales in the third quarter of
2012, will have a project value of THB2 billion with completion scheduled
for 2015.
Attendees enjoyed the colorful
beachside party held at Royal Varuna Yacht Club, August 24, to introduce
Southpoint to the Pattaya media and public.
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Thai-Swedish Chamber of Commerce soldiers on with Property Initiative
The Thai-Swedish Chamber of Commerce is preparing a new
issue of the exclusive Thai Property Guide (TPG). It is due to be launched
this fall, part of a long-term effort in promoting Thailand for second home
investment.
Kenneth Radencrantz,
President of the Thai-Swedish Chamber of Commerce.
“Demand for a second home in Thailand is high among
Swedish and Scandinavian citizens due to very high visitor numbers from
those nationalities. Scandinavians are increasingly also moving to set up
businesses and work in Asia, especially in Singapore and China. It is these
prospective investors’ need for continued unbiased and reliable advice how
to acquire property in Thailand that prompts us to produce a second and
completely updated issue of this publication,” says Kenneth Radencrantz,
President of the Thai-Swedish Chamber of Commerce, TSCC.
Many Swedish and Scandinavian families have bought
residential property, including condos, in Thailand and TSCC sees continuing
interest. It is estimated that more than 20 000 Swedes alone have invested
in a second home in Thailand at a value estimated to 100 billion Baht.
Every year about 450 000 Swedes, as well as many other
Scandinavian tourists, arrive in Thailand. Many of them would like to spend
3-6 months or more in Thailand every year (and some are already doing so),
particularly when they reach retirement age. Thus the increasing interest to
acquire a second home in Thailand. Buying property here is not easy,
however, and may have consequences not anticipated. The need for genuine,
relevant information on second home investment here is significant.
“This second edition of TPG will not only provide crucial
information for foreigners looking for a second home in Thailand, it will
also provide a rare gateway to this niche market for other related
industries including travel & leisure, health & wellness, insurance,
transportation, etc.” says Supakorn Kijkanakorn from Nishaville development,
who currently supports TPG.
The new publication will contain up-to-date information
on how to buy property, Thai property law and related subjects. Also
included are other relevant topics, for example medical insurance, medical
care, international and Scandinavian schools and banking.
The purpose is to give not only Scandinavians but also
all other foreigners adequate and objective information about topics to be
considered when investing in a second home in Thailand.
The Thai-Swedish Chamber of Commerce launched its
property initiative back in 2008 with the Best Practices Guide for the
Property Sector in Thailand. Then the initiative continued with the new Thai
Property Guide published in 2011. They are currently the only foreign
Chamber of Commerce that provides this kind of advice to foreigners.
“Our publication is unique. It is the only such guide
backed up with full support from a foreign chamber of commerce in Thailand.
TPG is neutral and factual, a valuable tool for any foreigner in need of
advice how to acquire property in Thailand,” states Radencrantz.
Aside this core product the initiative functions as an
advocacy for the promotion of a positive, secure and solid second home
abroad market in Thailand. A meeting point for residential buyers and
sellers and forum for knowledge exchange; it has its online communicative
platform via www.swecham.com/property.
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Housing and condominium markets boom along Bangkok’s Purple Line
According to the latest survey by international property
consultancy company CBRE Thailand, there is an increased level of
development along the purple line mass transit route currently under
construction despite much of area being affected by the floods in 2011.
James Pitchon.
The construction of the mass transit network in Bangkok
and surrounding provinces has had a huge impact on people’s lifestyle. The
younger generation is now choosing to live in the city as it is more
convenient to travel via BTS, MRT, and Airport Rail Link. Locations next to
the mass transit stations are becoming one of the key factors that determine
where people buy or invest in property.
“We have seen a positive correlation between the number
of passengers on each line and the level of actual demand for condominiums,
offices, hotels, and retail centres along the route. In the future, we
strongly believe that developers will build more projects along both under
construction mass transit routes and the new planned routes.” said James
Pitchon, Executive Director, Head of CBRE Research and Consulting at CBRE
Thailand.
There are six mass rapid lines under construction; the
BTS Dark Green Line extension (Wong Wian Yai – Bang Wa; completion in 2013),
the BTS Light Green Line extension (Bearing – Samut Prakan; completion in
2017), the MRT Dark Blue Line1 (Bang Sue – Tha Pra; completion in 2016), the
MRT Dark Blue Line2 (Hua Lamphong – Lak Song; completion in 2016), the MRT
Purple Line (Tao Poon – Klong Bang Pai; completion in 2015) and the SRT
Light Red Line (Bang Sue – Taling Chan; completion in 2013).
MRT Purple Line Map.
The survey shows that one of most popular routes for
property development is the MRT Purple Line because of the availability of
land plots. The lower price of land has meant that it is feasible to develop
both low rise housing and condominiums on this route. The line begins at
Klong Bang Yai and runs along Rattanathibet Road to cross the Chao Phraya
River next to the Phra Nangklao Bridge, before connecting with the MRT Dark
Blue Line 1 at Tao Poon. The total distance covered by this route is 23.0
kilometres. As of June 2012, the line was 44.92% completed and it is
expected to start operating by mid-2015.
In addition, new condominium developments along the route
are being seen largely on the eastern bank of the Chao Phraya River (Tao
Poon – Saphan Phra Nangkloa) while townhouses and single-detached house are
being seen on the western bank (Sai Ma – Klong Bang Pai).
An artist’s impression shows
The Tree Interchange Condominium being developed by Pruksa Real Estate next
to the new MRT line.
Prices of condominiums usually do not exceed THB 2.0
million per unit as the target group is lower to middle-income classes. Most
condominium projects offer studio and one-bedroom units with areas of
approximately 25 - 35sqm per unit and prices ranging from THB 35,000 –
60,000 per sqm.
In the first half of 2012, there were seven new
condominium projects launched along this line. CBRE Research included only
the developments that are within 800 metres from MRT stations.
As Tao Poon station is the interchange station between
the MRT Dark Blue and MRT Purple Lines, there have been many new condominium
developments near this station. One of the largest developments is The Tree
Interchange Condominium being developed by Pruksa Real Estate with 650 units
and an average price of THB 1.9 million (THB 66,000 per sqm.).
There were two large new projects launched in Q2 2012 by
public-listed developers including Asian Property’s Aspire Rattanathibet and
LPN’s Lumpini Park Rattanathibet-Ngamwongwan. The average price of both
projects was less than THB 60,000 per sqm. Buyers will get a condominium
unit close to an MRT station, paying less than THB 2 million. The sales
rates of both condominiums have been high.
CBRE believe that the condominium market along the mass
transit routes is driven by accessibility, affordability and usability.
There was only one condominium launched on the western
bank of the Chao Phraya River which was D Condo Rattanathibet which is
located near Sai Ma station, offering 1,325 one-bedroom units. As the
starting price of this development is lower than THB 1 million and also
cheaper than the developments on the other side of the river, 80% of the
units have been sold within five months of the launch.
CBRE also observed that the numbers of new condominiums
developed by private property developers is increasing. However, these are
usually small developments with less than 200 units.
There were eight new low rise housing projects along the
MRT Purple Line launched in H1 2012; 3 townhouse and 5 single detached house
projects. The townhouse projects near the Purple Line (Pruksa Ville 54 Rama
5 Road, The Connect Rattanathibet and Baan Pruksa 76 Bang Yai - Kaew In)
were priced between THB 1.0 - 3.0 million, with two to three-bedroom units
with usable areas between 90 to 110sqm. per unit on 17.7-24.0 sq.wah land
plots, while single-detached house projects (Bangkok Boulevard Ratchapruk -
Rama 5, Supalai Ville Ratchapruk – Bang Bua Thong, Casa Ville Ratchapruk –
Rama 5, Thanasiri Ratchapruk - Tha Nam Non and Lanceo CRIB Rattanathibet -
Bang Yai) were priced at THB 2.9 - 13.9 million, with house sizes between
135 to 305sqm per unit on 36.0-138.0 sq.wah of land plots.
It can be seen that locations next to the mass transit
stations are becoming one of the important factors that determine where
people buy or invest in property. Mass transit systems are going to continue
to change living, working and shopping patterns of Bangkok residents but the
impact of each line will be different based on the price of land,
availability of land and planning regulations governing the size of what can
be built.
(Source – CBRE Thailand)
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Raimon Land sails into profit with The River
Company announces strong second quarter figures and says new Bangkok projects imminent
Raimon Land CEO Hubert Viriot,
right, announces details of the company’s financial performance at a press
conference held August 15 in Bangkok.
Property developer Raimon Land has reported a strong
swing back to profitability in the second quarter of 2012 based on the first
transfers from The River project in Bangkok. The company reported total
revenues of Bt 1,141 million for the quarter and earnings before interest,
tax, depreciation and amortization (‘EBITDA’) of just under Bt 200 million.
Net profit after tax for the quarter was Bt 101 million.
Hubert Viriot, Chief Executive of Raimon Land commented:
“We have sales contracts in hand worth over 11 billion baht for The River.
With completion of the project we are now in a position to start
transferring units and registering revenues in our accounts. The River
transfers during the second half of this year and next year will contribute
strongly to our bottom line. We’re very much back on track now - with a very
promising outlook over the next few years.
Raimon Land’s luxurious
‘The River’
condominium
project in Bangkok.
“Importantly the transfers will generate substantial
cashflows,” he continued, “reducing our gearing and putting us in an
excellent position to invest in a more aggressive growth strategy going
forward.”
The Company has announced that it is already in advanced
negotiations on a number of new land acquisitions in Bangkok with the
intention of launching up to two new projects before year end. The total
sales value of the new projects will be targeted at around Bt 2 to 3
billion.
“We are in final negotiations on a number of freehold
plots, all within 200 metres of central stations on the BTS and MRT,
“announced the Raimon Land CEO. “Our plan is to develop medium-to-high end
projects at these locations with pricing in the 90,000 to 150,000 baht per
square metre range. Unit prices will be between 2 to 10 million baht. Market
positioning is under review - but we are considering The Lofts and Unixx
brands.
“The plan is in line with our strategy of focusing more
on mainstream Thai customer segments and of developing a rhythm of at least
two new launches per year going forward,” he added.
Raimon Land currently has five projects at various stages
of development with a total sales value of Bt 35.2 billion (equivalent to
over US$1.1 billion). Although secured sales contracts at these projects
were worth Bt 23.5 billion (or around US$750 million) up to the end of June
2012, due to Thai accounting rules only Bt 5.2 billion had so far been
recognized as revenues in the Company’s accounts.
Raimon Land’s total secured sales backlog therefore
reached approximately Bt 18.3 billion during the second quarter of 2012.
Over half of the backlog related to sales at The River project, while just
under one-third had been generated by sales at 185 Rajadamri, which together
represent Raimon Land’s ultra-luxury flagship Bangkok projects.
Transfers at The River project commenced in June this
year. Sales to the end of June 2012 at The River represented 77% of the
project’s total saleable area, equivalent to Bt 11 billion in sales value.
The ‘Vue’, a lifestyle shopping complex linked to The River project, with
over 4,100 square metres of net lettable area is also now fully constructed
and has achieved around 70% take-up to date, with tenants already commencing
interior decoration.
The Company also reported strong sales progress at the
185 Rajadamri project during the last quarter, with 64% of its saleable area
now contracted. The 185 Rajadamri project is due for completion and
transfers by the end of next year. Construction of the superstructure has
commenced and has reached the 16th floor. At an average Bt 250,000 per
square metre, 185 Rajadamri is the highest priced condominium project in
Bangkok.
Raimon Land’s Pattaya projects have also made rapid progress. The first
building of the Zire Wongamat project is sold out. Northpoint, Zire Wongamat
and Unixx South Pattaya were 88%, 68% and 27% sold respectively by the end
of June. The Zire Wongamat and Unixx South Pattaya projects, both launched
last year are due for completion and transfers in 2014 and 2015
respectively.
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Simon Landy talks real estate and doing business in Thailand
Simon Landy, right, talks with
Paul Stachan at the Anantara Riverside Resort and Spa in Bangkok. (Photo
Peter Kraemer)
Movers & Shakers is a monthly corporate networking event
held at various prestige venues across the Thai capital. Prior to the
networking, key players from the business community are invited to be
interviewed by Paul Strachan of Azure Studios.
At one of the recent networking events, Paul turned the
spotlight on Simon Landy, Chairman of the British Chamber of Commerce
Thailand and the Executive Chairman of property consultancy agency Colliers
International (Thailand).
PS: How are you Simon?
Simon Landy: I’m fine thanks and business is fine,
it’s been a good year so far.
PS: That’s interesting to hear, I know down in
Pattaya because of the predominance of the real estate market, which you are
heavily involved in, we are getting into the sleepier part of the season,
which is slightly more challenging I guess, yet there are still lots of
developments going on, some may say too many.
SL: You mean in Pattaya in particular?
PS: Yes
SL: Pattaya is an interesting market, there are a
lot of new developments going on, but if you look back over the last ten to
fifteen years, there really hasn’t been that much, the boom has been in the
last three to four and I would say the big change is now that you are
getting Thai’s buying in Pattaya, on quite a big scale, which is a
relatively new phenomenon.
PS: Sure, the whole mindset of Pattaya has changed
in the eyes of the Bangkokian’s who rediscovered Pattaya on the back of the
floods last year. It’s good to hear that business is good for you, how long
have you been in Thailand, Simon?
SL: I’ve been here thirty years
PS: You’re here attending Movers & Shakers, I
guess networking is an important part of what you do, especially in regard
to the British Chamber?
SL: Yes absolutely, networking is obviously good
fun as well but it’s an important part of our business, especially in the
service industries; you have to get out there and network.
PS: How would you say networking has changed over
the years, or has it? , is it still getting out there, a firm handshake, eye
contact and building confidence, which I guess you and your team at Colliers
do anyway.
SL: Yes that’s right, well networking itself
hasn’t changed, networking is interacting with customers, potential
customers & suppliers. But the environment has changed quite dramatically,
certainly in my time here. Thailand generally and Bangkok is a much more
cosmopolitan international city than it was when I first arrived and even
going back fifteen years there are visible changes in the makeup of the
cities and the makeup of the people.
PS: What I’m acutely aware of, that when Thai’s
and foreigners work together, which we do day to day, but when applied to
networking with the prospect of doing business together, is this still one
of the major challenges trying to break through that membrane, that perhaps
comes from both sides. Does that still exist?
SL: Absolutely and I think that if you look at the
makeup of the community, it’s much more balanced than it used to be, but yes
there are always cultural differences, but these difference are not just
between the British Chamber, meaning British members and our Thai members,
it is also between each nationality, there is always some cultural divide
that has to be crossed.
PS: What advice would you give to people who are perhaps
looking to set up business and have to think about work permits & visa’s and
all the rather mundane things we have to do, to be able to work legally, as
someone who has been here for a number of years, what advice would you give
them?
SL: Someone who is coming here for the first time
looking to do business, I suppose I could say a couple of things; one is,
it’s a very welcoming place, it’s not just the Thai smile, it’s the whole
ethic of the culture, it’s service orientated, it’s a good and pleasant
place to do business. On the other hand it’s not the easiest place in the
world to do business, there are those cultural barriers, there are various
obstacles, some put in place to protect businesses, some of a more cultural
and social nature and I think to succeed here you really need to make the
effort to break through.
PS: Regarding barriers, a lot of people are
talking about the ASEAN community of 2015, where a lot of the geographical
barriers, will come crashing down, do you think on the whole that this is a
good thing?
SL: I think it’s a good thing definitely, I think
the liberization of the economy generally would be a very good thing for
Thailand as many of the problems that we come across is the slow pace of
liberalization, but one of the issues for Thailand in comparison to some of
the other countries in the region, especially those with better English
language capabilities, there seems to be more concern here where as the
Singaporeans and the Malaysians may be seeing AEC 2015 as an opportunity. I
think too many Thai’s see it as a threat, where is in fact it isn’t, I think
it’s a great opportunity.
PS: Thank you Simon, final question: are you a
mover or a shaker?
SL: Well I guess it depends on the time of day.
(Interview by Paul Stachan)
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‘Less is more’ says leading Bangkok developer
The current trend for building more compact and
affordable residential units seems to be en-vogue at the moment and is
something being adopted whole-heartedly by Bangkok developer Noble
Development PCL in their latest project, Noble Revolve.
 Thongchai
Busrapan, Managing Director of Noble Development PCL, stands next to a scale
model of the Noble Revolve project.
The high rise condominium residence, located just 350
metres away from BTS Ari Station, will comprise 38 floors encompassing a
total of 483 units plus a commercial zone on 4 floors. Units at the
development range in size from one bedroom at 26sqm (starting from THB 2.6
Million) to larger two bedroom apartments.
“The trend of city living in the metropolis is leaning toward, for the lack
of better word, ‘Micro-Units, with the conceptual size of living space
running at around 275-300 square feet, or 25-28 square metres,” explains
Thongchai Busrapan, Managing Director of Noble Development PCL.
“The perfect illustration of this idea is New York, where ‘Micro Units are
becoming more and more popular as real estate prices skyrocket” he
continued. “The concept enables even youngsters to actually be able to own
their own homes without having to give up access to the vibrant city life.”
The company says the project is being designed for the new generation whose
lifestyle does not depend on the old school platform. ‘Revolve Living’ is
the concept that has been introduced and the room sizes will be “more
compact with a reasonable price tag but without compromising on the finest
details,” added the Noble chief.
The Noble Revolve project is sighted on a 2-1-70 Rai land plot and has a
total value of THB 2 Billion. Facilities at the development will include a
sky lounge, infinity edge swimming pool, steam room, and library lounge.
Units started going on sale from last month and the company reported sales
figures of 1,200 million baht in the first week alone, representing 60% of
the total project value. Construction on the development is expected to
begin in August 2013.
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CEVA first off the blocks
at new TPARK Laemchabang site
Russell Pang, Country
Business Development Director of CEVA Logistics (Thailand) Limited (CEVA),
left, and Patan Somburanasin, General Manager of TICON Logistics Park Co.,
Ltd (TPARK), inspect progress at the construction site of CEVA Logistics new
facility in Laemchabang.
Construction work at CEVA Logistics new depot on the
Eastern Seaboard is rapidly taking shape. The 10,550 square meter facility,
situated in TPARK’s new Laemchabang 2 site, will comprise warehouses
offering both general and free zone storage. Building work has been
proceeding on plan with handover to CEVA expected in November 2012. When
operational, the facility is expected to become a key strategic base for
CEVA’s planned expansion in the kingdom.
The CEVA facility is the first on the new TPARK site
which encompasses a total land area of 430 rai with total rentable area of
187,614 square meters close to the deep sea port facilities. TPARK has a
number of sites under development in the Eastern Seaboard and Sriracha areas
in response to high demand from companies seeking warehouse facilities in
the region.
Commenting on the development Russell Pang, Country
Business Development Director of CEVA Logistics (Thailand) Limited, said
CEVA’s commitment to quality service of its customers made the choice of
site a logical one.
“This new green field site enables us to offer the
integrated supply chain logistics which our customers were requesting,” he
said.
“We thought carefully about the benefits this site
delivers to our customers not just now, but also for their expected growth.
We wanted a facility and location that would match our current and future
demands and that is why we moved quickly to be the first tenant.
“The close proximity to Laemchabang Port meant we can be
more flexible in meeting their needs while allowing us more scope to
innovate in productivity, time, inventory and costs,” added Pang.
Patan Somburanasin, General Manager of TPARK said the
site had attracted a lot of interest from potential tenants.
“It is great to have a strong tenant like CEVA moving
quickly to capitalise upon the location,” he said. “For logistics services,
location and access to key transport corridors is vital. We are very happy
with the market response to this new site at Laemchabang and we expect more
companies will follow CEVA’s lead.”
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Statistics reveal Pattaya property boom set to continue
Low-priced condominiums the trend de jour for both developers and buyers
The seminar’s panel of
experts (from left): Mark Welch - MD One Stop Real Estate, Nigel Cornick -
CEO Kingdom Property Company, May Watson - President, REBA Eastern Seaboard,
Nuntiya Thongyingsakul, - Technical Officer from The Department Of Land,
Pattama Pornchokchai, and Miki Haim – MD Matrix Developments.
The future prospects for the Pattaya real-estate market
were outlined and discussed at a seminar held August 8 at the city’s Eastern
Grand Palace Hotel and attended by a wide representation of local
developers, real-estate agents and investors.
Dr. Sopon Pornchokchai.
Organised by REBA Eastern Seaboard, the regional chapter
of the kingdom’s primary association of realtors, the headline speaker at
the meeting was Dr. Sopon Pornchokchai, President of the independent Agency
for Real Estate Affairs (AREA), who recently conducted a comprehensive and
exhaustive survey of the region’s property sector.
Dr. Sopon’s findings indicated that those involved in the
Pattaya real-estate scene have a lot to be quietly optimistic about as the
city’s recent property boom has seen it climb to a level where it now
represents 15% of the total Bangkok market in a direct comparison.
Pattaya now has an amazing 232 projects with 50,000 units
being offered for sale worth a total of 173 billion baht. This ranks Pattaya
on a par with other Asian metropolises such as Jakarta in Indonesia, and way
ahead of other popular Thai tourist destinations such as Phuket and Hua Hin.
Not bad for a city with a standing population of just 500,000.
Not surprisingly, two thirds of the Pattaya developments
are located on the popular beach side of Sukhumvit Road, of which 97% are
condominium projects. More findings showed that half of the units in the 151
beach side condo projects were for sale at 2 million THB or less.
“The recent focus seems to have been on the lower end of
the market and units are moving very quickly, in some cases like north
Pattaya, in less than 1 month,” said Dr. Sopon. “Developers have learned to
build for the lower end of the market,” he said.
The Doctor explained that sales of high-end condominium
projects and detached villas are not moving fast enough to maintain
developers’ interest however, with some luxury villas taking up to 2 years
to sell, and thus Pattaya has seen a recent glut of the relatively
low-priced condo units being introduced onto the market.
“Condos generally sell very quickly apart from those over
10 million THB and over 100sqm in size. We are seeing a move away from
studios, which are becoming outdated, and 1-bedroom units are now the most
popular choice regardless of actual room size. The high priced projects may
be in trouble though, as that end of the market isn’t moving,” added the
Doctor.
The seminar was well attended
by those with a vested interest in the Pattaya real-estate scene.
The crux however would seem to be that as more
developments go up, the available land for new projects decreases and prices
inevitably rise. This cost increases will ultimately have to be absorbed by
customers at the end of the property chain, which should see real-estate
values rise in accordance.
This fact hasn’t escaped the notice of one of the other
speakers at the seminar, Miki Haim, Managing Director of the Matrix Group,
which was one of the pioneers of the ‘1 million THB condo’ in Pattaya.
“We (Matrix) arrived in Pattaya as innovators but now we
have had to react to the market,” said Miki. “Land prices have increased
exponentially and we have had to change our product and focus. We believe
that in the future ‘1 million baht condo’ developers will struggle.
Customers who want cheap units will have to buy second hand,” he added.
The rapidly changing market has seen Matrix gradually
move away from its successful Park Lane and Paradise Park blueprint and
focus now on the city center where the company has already discovered a new
market of Japanese and French investors for its City Center Residence
project.
“We sold Park Lane (600 units) very easy in 2007 and
likewise with Paradise Park,” continued the Matrix chief. “Now we have
chosen to go to the city center and we believe that next year 2013 will be a
good year for us and for the real-estate industry here in general, but
people will need to work harder,” he concluded.
Mr. Haim’s concerns over the budget condo market were
supported by another guest speaker, Nigel Cornick, CEO of Kingdom Property
which recently announced its first project in the city, Southpoint, to be
built on Pratamnak Hill in south Pattaya.
“In a market inundated with new projects it’s becoming
more and more difficult to find good land,” said Nigel. “We can’t see how
developers in the prime locations will be able to survive at the lower end
of the market,” he added. “In future I think you can expect to see more,
small boutique developments in good locations offering units in the 3-7
million baht price range,” he added.
“There are great opportunities here but for me it is
important to focus on quality. And that’s not about gold taps but
construction materials that last and that are low maintenance. This is what
we did with Northshore and Northpoint and it is what we continue to believe
in. Combine this with good design and location, ideally with views, and
Pattaya still offers great value for buyers,” Nigel commented.
So it would appear that while Dr. Sopon’s statistics
reveal an overall trend towards cheaper and smaller condo units being built
and released onto the Pattaya property market, the view of two prominent
developers here is that this trend is not sustainable in the long term due
to increased construction costs.
If the developers are to be believed, one might discern
that now would be a good time to invest in property here, but with the
heavy-hitting Bangkok plc’s now getting involved in earnest in the Pattaya
real-estate scene, and with many investors from the capital demanding
affordable weekend homes and retreats, the remainder of 2012 and first
quarter of next year should be a very interesting time to view what could
potentially be a very fluid market.
With regard to the development of Pattaya and the Eastern
Seaboard in general, Dr. Sophon though can only see things improving in the
long term.
“There are currently 633 projects in Chonburi and Rayong
(not including Pattaya) selling on the market,” advised the Doctor. “With
the kind of recent actively we are seeing, eventually, this whole area will
become one big megalopolis,” he added.
“Needless to say, the infrastructure will have to be
improved accordingly,” he continued. “Many people think a mass transit
system here in Pattaya would be an eyesore – but ultimately it will become a
necessity. An express rail airport link will also be required,” he
concluded.
Pattaya’s continued development was outlined by Deputy
Mayor of Pattaya, Wirawat Kharkhai, who also addressed the meeting and said
that City Hall planned a number of long-term environmental improvements for
the destination including a new reservoir to assist the water supply, a
massive garbage incineration facility and a waste-water plant capable of
handling 130,000 cubic meters per day.
Plans are also in place to enlarge the beach, which is
suffering from erosion, continue to move overhead power and telephone cables
underground, and improve the transport system, although designs of a
monorail for Pattaya are on the back-burner for now.
The public official also indicated that the company
behind the MBK shopping complex in Bangkok now has plans to build a similar
major shopping venue on Beach Road in central Pattaya in the not too distant
future.
It all sounds like an exciting but also a challenging
time to be involved in the rapidly evolving Pattaya property scene, but on
an optimistic note we shall leave the final words to Dr. Sopon.
“In a typical urban center you would expect to find
townhouses, detached houses and a few condos – but the Pattaya property
market is made up of 80% condominiums and more projects are appearing all
the time,” he said. “This signifies one clear fact - if there is a lot of
supply here it also indicates there is a lot of demand.”
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Ananda Development joins hands with Habitat to build shelter for flood victims
Chanond
Ruangkritya, President and CEO of Ananda Development Pcl., (2nd left) and
Chamnarn Wangtal (2nd from right), CEO of Habitat for Humanity Thailand,
sign the MOU to build the flood shelter in Bang Ban district of Ayutthaya.
Construction company Ananda Development Pcl recently
signed an MOU with Habitat for Humanity to construct a shelter for potential
flood victims in the Bang Ban region of Ayutthaya province.
Bang Ban has been earmarked by the government as the
ideal spot to provide the “Monkey Cheeks” (Kaem Ling) water retention area
to bear waters from the north and hopefully prevent any future inundation of
Bangkok.
The 1,500,000 baht shelter will provide a center of
relief for residents in the area should it be required. In normal times, the
building can be used for a multitude of-purposes, such as a learning center,
day nursery etc.
Ananda Development, which will provide the construction teams and budget
for this new project, has previously cooperated with Habitat for Humanity
Thailand to build homes for disadvantaged residents of the poorer suburbs of
Bangkok.
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Manila office and residential markets to
exhibit sustained robust growth until 2015
Makati skyline.
(Photo/Wikipedia)
Strong demand from local and multinational companies and
the continued evolution of the Business Process Outsourcing industry may
propel the Philippine office property market to become one of the major
markets in the Asia Pacific region in the next few years, according to
property management company Jones Lang LaSalle.
Phillip Anonuevo, associate director of Jones Lang
LaSalle in Manila, observed that while corporate offices previously
accounted for only 10 per cent of office space leased, this segment is
expected to grow by as much as 20 per cent as multinational companies
prepare to upgrade their office facilities. In addition, if demand from
corporate offices continues, take-up of office space could reach 450,000
square meters annually for the next two years. Anonuevo remarked: “We
haven’t seen this kind of office activity since the 1990s.”
He observed that many new multinational companies were
making investments in local firms and consequently seeking better quality
office space. Figures from the Business Processing Association of the
Philippines (BPAP) likewise indicated that office demand was further
strengthened by the growing number of “captives” or offshore operations
owned by multinationals, as opposed to offshore operations outsourced by
multinationals to third-party vendors such as BPOs.
According to Claro Cordero, Jr., JLL head for research,
consulting and valuation, the Philippine offshoring and outsourcing (O&O)
industry accounted for US$11 billion in 2011 according to the BPA/P and
could grow to as high as US$25 billion in 2016.
Cordero also emphasized that the mid-end residential
sector, comprised of units from Php50,000 to Php110,00 per sqm, is far from
reaching an over-supply situation. He disclosed that 154,000 units are
projected to be built out from 2012 up to 2016 which is 30 per cent more
than the 118,000 units built from 1999-2011.
“Nevertheless, the timetables for completion of these
projects are highly elastic. Moreover, Metro Manila’s estimated daytime
population of 14 million, as opposed to its nighttime population of around
10 to 11million, indicates that demand for mid-end residential units is far
from being fully served,” he said
Cordero also pointed out that tourism is projected to
shore up the economy and the real estate sector up to 2015. He disclosed
that developments that accounted for 10,536 rooms, to be completed between
2012 and 2015, have been launched. Projects amounting to another 3,600 rooms
mostly within Entertainment City in Paranaque have also been announced but
with no completion dates specified.
Just as tourism is expected to transform Metro Manila,
the office sector will also reshape the urban landscape. Anonuevo observed
that, currently, Makati accounts for 53 percent of prime and grade A office
stock with Ortigas coming in second at 25 percent and Bonifacio Global City
at six percent. A number of other emerging districts like Bay City and
Quezon City account for less than three percent.
Future pipeline supply from 2012 to 2015 will fuel the growth of business
districts besides Makati CBD. Bonifacio Global City will capture as much as
41 percent of the new office stock in addition to its many attractions,
while Quezon City will account for 15 percent, Makati 11 percent and Ortigas
10 percent.
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Holiday Inn celebrates 60 years with new China hotel
An artist’s impression shows
the 603-room Holiday Inn Resort Changbaishan and Holiday Inn Changbaishan
Suites.
Holiday Inn, one of the world’s most iconic hospitality
brands, turned 60 years old in August with the company celebrating by
opening of its 60th hotel in China – Holiday Inn Resort Changbaishan, the
first Holiday Inn ski resort in this populous Asian nation.
Offering a brand new holiday experience for travellers,
the 603-room Holiday Inn Resort Changbaishan and Holiday Inn Changbaishan
Suites are nestled in the picturesque Changbai Mountains. With a variety of
activities on offer, including hiking, climbing, swimming and skiing,
Holiday Inn promises the resort will provide “an unforgettable experience
for both thrill seekers and those looking for a relaxing getaway”.
This undated photo shows
company founder Kemmons Wilson standing outside the first Holiday Inn in
Memphis, Tess.
The company now has a presence in 96 countries, having
grown to 3,375 hotels globally across the Holiday Inn brand family, which
comprises Holiday Inn hotels, Holiday Inn Resorts, Holiday Inn Express and
Holiday Inn Club Vacations
What began as a roadside inn with the first hotel in
Memphis, Tennessee in 1952 - when vacations were beyond the means of the
average American family - is now one of the most recognised brands around
the world with over 100 million guest nights a year spent at a Holiday Inn.
Holiday Inn has a rich history of ‘firsts’ for being
innovative and improving guest experiences. When launched it was the first
hotel to introduce many things we take for granted today like TVs, in–room
telephones, air conditioning, free ice, free parking, a full service
restaurant and a pool, all at affordable prices. The spirit of innovation
has continued with the launch of Holiday Inn Express – the fastest growing
brand in the world, offering a convenient and comfortable experience for
guests and at great value.
Holiday Inn first established its presence in South East
Asia with the Holiday Inn Singapore Orchard City Centre in 1985, one of two
Holiday Inns in the city. The brand’s presence in the region has since grown
to 19 hotels with over 6,500 rooms across Singapore, Thailand, Malaysia,
Indonesia and the Philippines.
Thailand is the biggest market for Holiday Inn, with 8
hotels spread across the country in Bangkok, Chiangmai, Pattaya and resort
locations like Phuket, Phi Phi and Hua Hin. The first Holiday Inn Resort to
open in Asia was the Holiday Inn Phuket Patong Beach in 1987.
In June, the brand family introduced the first Holiday
Inn Express to South East Asia, with launch of Holiday Inn Bangkok Siam.
And rapid growth is expected to continue in South East
Asia in next few years, with 22 new hotels in the pipeline for the region,
including 12 Holiday Inn Express hotels across 4 countries expected in the
next two years.
Holiday Inn’s first rooms
introduced conveniences we now take for granted.
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Aloft Hotels to debut
in South Korea
An
artist’s rendering shows the Aloft Suwon hotel.
Starwood Hotels & Resorts has announced plans to debut
the Aloft brand in South Korea in late 2014, signing an agreement last month
with development partner Youngshin HRD. Co., Ltd., a wholly owned subsidiary
of OKHOW Co., Ltd. The hotel, Aloft Suwon, will be the first Aloft hotel in
South Korea, adding to the brand’s global expansion plan and growth momentum
in Asia Pacific that has been building up in recent years.
“We are pleased to partner with Youngshin Hrd., Ltd. to
bring the Aloft brand to South Korea for the first time,” said Stephen Ho,
President, Asia Pacific, Starwood Hotels & Resorts Worldwide, Inc. “While
Starwood has maintained a long-standing presence in South Korea since the
opening of the Westin Chosun Busan, this signing marks an important
milestone in our overall growth strategy to expand the Aloft brand. Aloft
Suwon will add to ten existing Aloft hotels in exciting cities throughout
the Asia Pacific region.”
A game-changer since its 2008 debut, Aloft Hotels and its
vibrant “style at a steal” brand proposition is geared toward the next
generation of travellers, pioneering initiatives in music, design, and
technology; and providing modern comforts and a fun social guest experience
at an affordable price point.
“Aloft Hotels has emerged as a popular choice for owners
and developers as the hotel brand that fills the void in the mid-market
hotel category,” said Matthew Fry, Senior Vice President, Acquisitions &
Development, Asia Pacific, Starwood Hotels & Resorts Worldwide, Inc.
“Because of the brand’s vibrant design and a social guest
experience offered at an attractive price point, Aloft properties have
quickly grabbed market share wherever they have opened. The next generation
of traveller has taken to the Aloft brand, and a broad range of travellers
continue to discover what it has to offer,” he added.
Aloft Suwon is located in Yeongtong-dong in the heart of
historical Suwon, the provincial capital of Gyeonggi-do, South Korea. Suwon
is a major industrial center, housing Samsung Electronics’ digital city and
a large factory complex; it is also home to 14 university campuses.
Located about 60 kilometers from Incheon International
Airport and 30 kilometers from Seoul, the hotel is well connected by various
modes of transportation. It offers easy access to numerous sights, including
the impressive UNESCO World Heritage site of Hwaseong Fortress, the Suwon
business district, and local government offices.
“It is very special that Aloft Suwon is launched for the
first time in South Korea and outside of Seoul, adding spark and character
to the Suwon cityscape,” said Kyoung Sub Kwak, CEO of Youngshin Hrd, Ltd.
“We will endeavor to develop the most iconic building and create the most
excitement in the hospitality industry, leaving guests amazed.”
Slated to open in October 2014, Aloft Suwon is part of a
mixed use development that also consists of retail and residential spaces.
The hotel occupies the 4th to 11th
floors, featuring 120 guest rooms, including 114 standard rooms and six
suites, in a modern, fresh, and fun setting. It also boasts a 404 square
meter meeting and function space, and two food and beverage facilities,
including the buzzing signature lounge and bar, and an all-day dining
restaurant. Other amenities include a 275 square meter recreational
facility, with a well equipped gym, and it is situated adjacent to an 854
square meter spa that provides signature rejuvenating treatments.
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