This article on joint venture Bangkok housing projects appeared in the Dot Property Group Bangkok Housing Market Report. Click here to download your copy.
Last year saw several homebuilders team up to launch Bangkok housing projects. While joint venture arrangements are nothing new for condominiums or mixed-use developments, these have been relatively rare when it comes to building homes.
Property Perfect was one of the first firms to utilize joint venture partnerships for Bangkok housing projects and they did so again in 2022. The developer launched two suburban housing estates alongside Hongkong Land. The pair had previously worked together on two other housing developments in the Thai capital.
Additionally, Property Perfect and Sumitomo Forestry, a Japanese firm, also joined forces on a low-rise housing project. The focus area of all these joint venture deals has been on the luxury, single-detached home segment.
Elsewhere, Sansiri and Japan-based Tokyu Corporation switched the focus of their joint venture from condominiums to housing. The pair launched their first low-rise project, Burasiri Krungthep Kritha, in suburban Bangkok last year.
The joint venture between Tokyu and Sansiri began in 2017 and completed three Bangkok condominiums: Taka Haus Ekamai 12, The Base Sukhumvit 50 and XT Ekkamai. However, the changing market forced the duo to chart a different course, at least temporarily.
“We have not given up on condo projects but will wait for their recovery which will be likely soon. We are studying the next projects to invest in, be it luxury, middle-end or affordable segment. Locations will remain in Greater Bangkok,” Tokyu Senior Manager in Thailand, Takayuki Matsumoto, explained. “Other Japanese property investment groups like Hankyu Hanshin, Nomura Real Estate and Sumitomo Forestry that co-invest with Thai developers see the same trend of robust low-rise housing market.”
It wasn’t just JVs with foreign firms being seen in this space. Local partners came together for Bangkok housing projects as well. D’Well Grand Asset and Sethiwan Group launched the final development of a joint venture deal reached in 2018. The duo unveiled ARNA Rama 9, a luxury housing project near the Ramkhamhaeng and Rama 9 intersection that is valued at THB 380 million.
Download your copy of the Bangkok Housing Market Report today!