AP banks on demand in Phitsanulok

AP (Thailand), which sees strong residential demand in Phitsanulok, has launched a Bt700-million Aspire-brand condominium project in the province, with the focus being on local buyers and those moving from other provinces.

The listed developer views the province as a logistics destination linking eastern and western Asean countries following the government’s planned mega-infrastructure programme worth Bt2 trillion.

Chief marketing officer Vitakarn Jantavimol said Phitsanulok was the second province in which AP had launched a condominium project under the new Aspire brand, the first being in Udon Thani early this year.

“Our survey found residential demand in Phitsanulok is still strong, given its position at the centre of lower-northern Thailand. Many people are moving from their hometowns to work in this province, due to its strong growth. The province is also the education hub in the area, as a result of which demand for apartments and other housing continues to expand,” he said.

The company’s survey also found that local developers and Bangkok-based property firms, which had launched condominium projects in the province, had experienced successful sales – and that there was still demand for units costing up to Bt3 million.

Phitsanulok will be the main province to benefit from the government’s Bt2-trillion infrastructure programme, with both a planned major highway and a high-speed rail route from Bangkok to Chiang Mai passing through the province in the first phase. In terms of road transportation, Phitsanulok will be the logistics hub for the lower North, with the planned major road crossing the Indochina junction and linking neighbouring Asean countries, he said. For example, Phitsanulok will facilitate the transportation of goods to Myanmar via Mae Sot to the west, while trucks will be able to link eastwards as far as Da Nang in Vietnam.

From the north, the province also has the main highway linking China to Malaysia and Singapore to the south, he added.

The development of the provincial landscape into a lower-North logistics hub will mean increased residential demand among those working in the province, said the chief marketing officer.

AP’s survey shows rental prices for Phitsanulok condominiums and apartments are currently in the range of Bt6,000 to Bt7,000 a month, with an occupancy rate of more than 90 per cent for the 5,000-6,000 units available.

“Based on our data, we are strongly confident that our condominium project, which will comprise only 300 units at a starting price of Bt1.39 million apiece, will prove successful when it opens for bookings in the middle of October,” said Marote Vananan, AP’s chief commercial service officer.

The company is focusing on demand from both locals and people moving from other provinces to work in Phitsanulok, he said.

Construction will commence at the end of the year, with completion scheduled for mid-2015.