Spurt in supply of condo

Property agent firm Plus Property Co said a survey showed that 35 new condominium projects were launched in Bangkok and its suburbs in the first four months of the year with a combined 16,070 units, up 31 per cent from the same period of last year, and worth Bt39.93 billion. They also recorded pre-sales of 8,460 units or 53 per cent of total new supply, up 122 per cent from the same period of last year with pre-sales worth a total of Bt21.07 billion. 

Up to 31 per cent of new condominium projects launched, or 5,010 units, offered price lower than Bt50,000 per square metre – less than Bt2 million per unit. Condominiums in the price range of Bt50,000-Bt69,9999 per square metre – Bt3 million to Bt5 million per unit – were about 26 per cent. Condominiums priced at Bt70,000 to Bt99,999 per square metre – Bt5 million to Bt10 million per unit accounted for 2,694 units, and condos priced at Bt100,000 to Bt199,999 per square metre – more than Bt10 million per unit – were 2,668 units. 

Most new condominium projects are located close to the mass-transit system because most home-buyers need locations that provide easy transportation to their workplace. 

When comparing supply and demand of condominiums in the market, the company believes that the price will rise 1-2 per cent due to increase in demand and the rise in construction cost, he said. 

Following the market trend, Plus Property Co, a subsidiary of Sansiri, is targeting total revenue growth of 25 per cent this year compared with last year. 

“We see strong demand for property management and the resale market will drive our property management,” he said.