Thai property developers are starting to look at overseas
markets for new opportunities because of the intense competition in the Thai
market, according to international property consultants CB Richard Ellis (CBRE).
The first target markets are Vietnam and Cambodia because of
their proximity, level of development and the local competition is not as well
developed as the more mature markets such as Malaysia.
There are a wide range of opportunities in the Vietnamese and
Cambodian markets from city centre office, retail, residential and hotel
developments through to the growing resort markets in these countries as well as
industrial estate opportunities.
Entering new markets is always a challenge. Rules and
regulations governing property development and ownership are different. The
dynamics of each of the property sectors in these countries is also different to
Thailand.
Accurate information on regulations, supply, demand, pricing,
competitors and prospects for each property sector is essential for a Thai
developer to succeed in a new market and CBRE feels it is well placed to advise
Thai clients on how to enter these markets.
CBRE established offices in Vietnam in 2003 and now has over
200 real estate professionals operating out of offices in Ho Chi Minh City,
Hanoi and Danang.
The research, consulting and marketing teams have already
worked with a large number of overseas developers who have successfully built
projects in both the main cities and resort areas.
CBRE also established an office in Phnom Penh in 2009 and
have been advising clients on the Cambodian market for many years before the
office opened. David Simister, Chairman of CBRE Thailand, Cambodia and Vietnam
advised the Australian Government on the acquisition of a new site for their
Phnom Penh Embassy in 2005.
“There is very little publicly available information on the
Vietnamese or Cambodian markets, said James Pitchon, head of research and
consulting for CBRE Thailand. “CBRE sells and leases properties in these
countries everyday which is why we have the best market data on actual
transactions and future supply. This enables us to provide our clients with the
best market data giving them the best knowledge to enable them to succeed,” he
concluded.
There are opportunities for Thai developers to acquire or
build properties in both Cambodia and Vietnam but accurate market research will
be critical in order to succeed. (Press Release)
