Prices and sales of Grade ‘A’ condominiums on Bangkok’s riverside and on the nearby Charoen Krung Road both saw notable increases during the first nine months of 2015.
In its latest report Knight Frank Thailand revealed average prices of top-level condominiums on the riverside and Charoen Krung Road increased to THB 145,977 per sqm, while sales in the Rama 3 area were recorded at 86.5 percent. Only 1,365 units currently remain for sale.
Risinee Sarikaputra, Director and Head of Research and Consultancy for Knight Frank Thailandm said that as of the third quarter of 2015, the number of condominium units sold in this area amounted to 8,781 with a sales rate of 86.5 percent.
During the first nine months of 2015 there were 652 sales. Selling prices of condominiums located on Rama 3 was noted to be around THB 83,000 per sqm, which reflects an increase of 3.7 percent per year.
For condos on the Chao Phraya riverside or on Charoen Krung Road, prices are relatively high; they are mostly Grade-A units, with an average price of THB 145,977 per sqm, Risinee added.
She further explained that as of Q3 2015 it was discovered there was total supply of 10,146 condominium units in the Rama 3 area, with approximately 901 units constituting new supply. The year 2010 witnessed the highest supply of new units for sale at 4,118 units; these were condos from two large projects. Mostly condominiums in the Rama 3 area are small units with one-bedroom and prices in the range of approximately THB 1.7 million to THB 2.5 million per unit.
Buyers are mostly employees working in the central business district, and who purchase the units for residential purposes. There are also a group of buyers of Thais of Chinese descent who live in the Chan Road, Charoen Krung Road and Sathupradit Road areas who purchase condos for their children and future expanded families. There are also property investors who buy condos in this area and rent them, she added.
Rama 3 is an interesting neighbourhood. It is located close to business centres such as Sathorn and Silom. Rama 3 also boasts the advantage of being the home of large buildings, such as Bank of Ayudhya, the support centre of Bangkok Bank and the headquarters of Kasikornbank.
Land prices are not high compared with other areas of Bangkok, at around THB 350,000 to THB 450,000 per talang wah. In addition, Rama 3 affords convenient travel by car to various parts of Bangkok.
The area It is considered to be a good source of ozone production, dubbed the lungs of Bangkok, and thus provides health benefits, Risinee concluded.
