Total number of new supply in 1H 2017 increased 39% to 30,493 units compared to 21,927 units in 1H 2016.
On demand front, there were 27,275 condos sold in the first half of 2017, up 11.5% from the same timeframe in 2016. New launching supply in CBD, city fringe, and peripheral were accounted of 6%, 29%, and 65%, respectively.
Majority of the new developments are in lower-end to middle market segments and situated along new mass transit routes especially BTS Light Green Line Extension (Mo Chit – Kukot and Bearing – Samrong), MRT Pink Line (Kae Rai – Minburi), and SRT Dark Redd Line (Bang Sue – Rangsit).
Condominium projects launched in 1H 2017 recorded an average take-up rate of 75%, representing an increase of 1.7% compared to the first half of 2016.
However, certain projects commanding affordable pricing, attractive down-payment packages, exceptional amenities, and convenient locations were able to achieve higher sales within weeks of launch. Prime and Super Prime condominium units accounted for 89% of the total new units being launched in CBD in 1H 2017.
Eight luxury condominium projects with a total of 1,850 units were launched in 1H 2017, an increase of 6.1% from 1,744 units in 1H 2016. Demand for Prime and Super Prime condos rose slightly in the first half of 2017. Average take up rate stood at 70.1%, up by 0.8% from 1H 2016.
Highlights The Bangkok condominium sector in 1H 2017 showed positive growth adversely to recent market concern about possible oversupply situation.
Throughout 1H 2017, Bangkok condominium market maintains strong momentum from the last year in light of positive sentiment among developers, investors, and buyers. Condominium supply continued to increase, especially for those located in peripheral areas…