Thong Lor highlighted for condominium investment
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Plus Property, a full-service professional property and facility management agency, picked Thong Lor as the top location for long-term condominium investment thanks to the high demand that results in a continued increase in prices and rental rates.
Its survey conducted in December showed that condominium take-up rate is 84 per cent. Meanwhile, rentals and serviced apartments continued to deliver strong performance. Condominium resale prices in mid-Thong Lor zones have been increasing on a monthly basis, recording a 3 per cent increase or Bt5,000 per square metre over the past two months.
Rental performance is also stable, based on a 95 per cent rental take-up rate and a 2 per cent increase in prices from mid-2014 to Bt910 per square metre in December.
"This excellent performance has driven property investors to focus on the Thong Lor area. The promised annual returns of 6-8 per cent are higher than investments in 12-month savings accounts (3 per cent annual interest) or debentures from leading companies (4-6 per cent annual returns on average)," said Poomipak Julmanichoti, managing director of Plus Property.
As foreigners prefer long-term rentals over outright purchases, the demand for apartments and serviced apartments in the area stand at a combined total of 2,500 units.
Land plots in the head and middle sections of Thong Lor are now selling for Bt1.2-1.3 million per square wa, and new projects in these areas are expected to be priced as high as Bt200,000-400,000 per square metre
Condomininium resale prices also rose by 7 per cent from Bt159,701 per square metre in June 2014 to Bt171,321 in December.
