Serviced Apartments Still in Demand by Expatriates

The demand for serviced apartments in Bangkok in 2013 remained virtually unchanged from 2012 reports, as reported by CBRE. Occupancy in 2013 rates held an average of 81%, just a one percent decrease from the previous year. This minimal decrease was largely due to lower occupancy rates in apartment located directly in the path of ongoing demonstrations.

Serviced apartments in Bangkok are typically the accommodation of choice for expatriates who have work permits; a population that actually increased by 12% from the previous year. Japanese expatriates make up the highest percentage of the long-term rental market for serviced apartments. As most white-collar foreigners in Bangkok work in downtown areas of the city, most serviced apartments that remain in demand are located nearby, specifically in the Sukhumvit area.

This is an indication that while the situation in the city is a cause of concern for those in very close physical proximity of disruptive political activity, Bangkok’s property market and real estate industry will likely come out fairly unscathed.