Queries raised on master plan for buildings

Developers are questioning the master plan drafted by the Department of Public Works and Town and Country Planning after many housing estates were inundated even though they are not shown as located in a flood pathway. 

“They received complaints from customers and they were criticised for building houses in flood-prone locations. In fact, most developers strictly follow the city plan, which clearly designates residential, green and commercial zones and floodways. However, the flood’s direction shows that things are not the way it was written in the city plan,” Kittipol Pramote Na Ayudhya, president of the Thai Real Estate Association, said yesterday. 

Changes may need to be introduced to the draft city plan that will go into effect next year, he said.

Developers were astounded when the flood first hit bedroom communities in Bang Bua Thong, Bang Yai and Rangsit, while floodway districts such as Nong Chok and Min Buri remained dry, he said. 

Issara Boonyoung, president of the Housing Business Association, said developers would have to change their strategy, with a greater emphasis on the elevation above mean sea level, to reduce risks. 

The disaster will have a broad impact on all property sectors, according to CBRE Thailand, a real estate consultant.

It would also lead to changes in demand patterns in terms of preferred residential locations and product.

The Central business district, which includes Lumpini, Silom, Sathorn and lower Sukhumvit, will be the preferred area, while other areas will be assessed after the flooding is over. Demand for high-rise condominiums would likely rise as second homes in the city centre.

 

New factors 

Homebuyers in the future will pay more attention to the product, design features and flood protection measures of individual developments. Developers will also need to ensure flood prevention measures and features are incorporated when launching projects. 

The office and retail sectors will experience minimal short-term impact as businesses are delaying decisions, while the retail business is experiencing a slowdown or closure in some areas that are directly affected by the flooding. The hardest hit would be the industrial sector, CBRE said.

Beneficiaries are resale markets in Pattaya, Chon Buri, Hua Hin, Cha-am and nearby provinces, as well as hotel markets in Pattaya and Hua Hin, CBRE added.