{"id":12030,"date":"2017-12-04T14:22:35","date_gmt":"2017-12-04T06:52:35","guid":{"rendered":"https:\/\/www.luxurysocietyasia.com\/?p=12030"},"modified":"2024-01-16T14:55:26","modified_gmt":"2024-01-16T07:25:26","slug":"luxury-residential-market-position-and-outlook-2018","status":"publish","type":"post","link":"https:\/\/www.luxurysocietyasia.com\/luxury-residential-market-position-and-outlook-2018\/","title":{"rendered":"Luxury Residential Market Position and Outlook"},"content":{"rendered":"

Another outstanding year for the Luxury condominium market with niche supply and matching demand from local and overseas investors.<\/p>\n

This trend<\/span><\/strong> continued at a leisurely pace in the first quarter of 2017, except for the fact that there was no significant new Luxury<\/strong><\/span> supply entering the market.<\/p>\n

By Marciano Birjmohun\u00a0<\/strong><\/p>\n

Developers were competing strategically with their existing products and coping with a dynamic resale market. Following the mourning period after the passing of HM King RAMA IX<\/strong> \u2013 we respectfully withheld major marketing campaigns and project launches in Q4 2016 and Q1 2017<\/strong> <\/span>\u2013 regardless of foreign media speculations, the Kingdom unified in stability. This stability comforted developers and investors, with as result a positive market outlook for 2017. Article by\u00a0www.luxurysocietyasia.com<\/a><\/i><\/p>\n

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Interesting fact about Luxury condominiums<\/span><\/strong> is that their marketing efforts are unique with far reach overseas. Foreign investors have been flocking the Luxury condominium market since 2014 getting attractive pre-sales prices from the top end developments. Today these units reached a significant capital gain of 30% mainly due the land value increase. Luxury condominiums were not only launched by Public Companies \u2013 a selection of the Luxury supply have been launched by fairly new players on the high end market. These new players kept momentum and created a visible presence on the Luxury condominium market. The banks of the Chao Praya river, low to mid Sukhumvit road and Sathorn remain concentrated area\u2019s for Luxury<\/span><\/strong> supply \u2013 this due to connectivity, preferable neighborhood infrastructure and lifestyle amenities.<\/p>\n

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2017 recap; Entering the second half of 2017<\/span> <\/strong>\u2013 several Luxury condominiums reached completion and the official opening of 98 Wireless, Magnolias Racthadamri and the Ritz Carlton Residences Mahanakorn made world news. Three significant structures that influenced the Super Luxury sales market of Thailand forever, setting new benchmarks. The take up rate for 2017 Luxury condominiums remains healthy due to limited supply and level of quality \u2013 investors are particularly interested in Bangkok\u2019s \u201cTrophy Properties\u201d the term refers to residences, architecturally or historically preserved properties that have extraordinary yields, with spectacular views, or other extraordinary amenities. Prices are being pushed up in particular for rare unit layouts such as Penthouses and Duplexes. The Penthouses at Wireless 98 and Mandarin Oriental Residences are a good example, reaching price points exceeding 650.000THB\/sq.m. For those who think the Luxury market is driven solely by foreign investors, should think again. Affluent Thais remain an essential fuel in this engine. Article by\u00a0www.luxurysocietyasia.com<\/a><\/i><\/p>\n

Bangkok\u2019s Luxury properties<\/span><\/strong> in correlation with their quality and amenities are of world class standards. By the last quarter of 2017 more developments will reach completion, a positive sign of prosperity.<\/p>\n

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Outlook 2018<\/span><\/strong><\/p>\n

2018 will be a challenging year for the Luxury Residential market, due to the fact that there is still supply available. Developers have chosen to re strategize and focus on overseas activities \u2013 simply because the uptake of overseas buyers have shown positive results in 2017 for all levels of the market. Majority of the overseas buyers will focus on Branded residences based on the following facts;<\/p>\n