In recent weeks the Phuket property market is buzzing over rumor's that an elite developer has acquired a stunning piece of west coast oceanfront property which could be developed into Amanpuri Phase 2. While neither the developer or resort have made any announcements most eyes are on the SET (Stock Exchange of Thailand) for the notice of a substantial transaction.
While speculation remains high, many local brokers and industry player's have consistently commented that the luxury estate will have 16 plots and villas are priced in the multi-million dollar level. More so that deals for the properties have already passed the 90% mark on the private market and a sell-out will result without the need of a market launch.
We wait for confirmation or clarity on the deal, and at this point it remains conjecture. But should the transaction occur, it will be the highest profile transaction on the island ever and certainly ignite global interest in the Phuket luxury real estate market.
This just in and good news for the island as yooPhuket have won the Fractional Life Reader's Choice Award beating 59 global properties. The resort took over 60% of the 32,000 registered membership base.
Globalization has moved from the days of 'Think Globally, Act Locally' (remember that one) to a new world order with vague borders where every action sparks a nearly instant reaction. On comes the term “Hot Money” which basically comes down to quickly moving money from investment to investment with the stategy aimed to benefit from foreign exchange gains or opportunist market developments.
This of course somehow could by evolved by the term “Hot Potato” which is passed from one hand to another to avoid the veritable burn effect. While the term is used in various financial sectors in different ways it also can term illegal activity. In a world gone mad with currency and business fluctuations coming by the minute, it's never been more relevant than the present day climate.
Long time Banyan Tree Residences Director of Sales and Marketing Tamsin Edenbrow is leaving the group. We spoke to her today and she will be taking a well deserved break and looking forward to new challenges in the future. Tamsin certainly was a stalwart supporter of one of the market leaders in branded property here on the island. A replacement Trevor Morley has been appointed in the role of Director of Sales – Asia
An ongoing recession and depressed property values in the United States have taken the condo hotel sector from a roar to a whimper in just a few short years. As lenders crowd the sidelines like some entourage or paparazzi at the upcoming Academy Awards, transactions are as rare as quality pictures.
Akin to stampeding cattle second homebuyers are running away from purchases where in many cases negative equity is the norm. For those looking for relief from rental yields, the hospitality led residential sector is seeing travelers move back into an already ailing hotel supply.
There continues to be cases of partly filled zombie buildings where the statutory bodies or owners associations have become insolvent so banks are looking to take in non-performing assets. It all adds up into an ugly hangover scenario where credit was king and there look to be no real short-term rainbows of recovery.
Listed Thailand development group Supalai Plc have launched a 518-unit condominium project in Phuket Town. The Supalai Park @Downtown will consist of one and two bedroom units in a 15-story structure.
Priced from THB 1.2 million the new project looks set to start a trend toward larger Bangkok style urban living for the island. Completion will be by mid 2012. Recently another Thai listed developer Sansiri announced plans for the acquisition of land on the island.
Speaking to Richard Lusted from Siam Real Estate on market trends, he was quite vocal that two years ago the lion's share of transactions were off plan and now in an absolute turn around now they are dominated by resale's. Back of buyer feedback the firm has now created a program called Easy Buy, where 50% of a transaction is paid and the remainder payable on flex plans up to 3 years.
Terms are interest free if the balance is paid over the first year otherwise a fixed interest rate applies with monthly payment and then a balloon due on expiration. Land titles are held in escrow to ensure security.
It's an interesting incentive and according to Richard, the take up from purchasers has been significant. More details of the plan can be seen by clicking on:
<link>http://www.siamrealestate.com/info/easybuy/*Easy Buy Terms</link>
One of the most overlooked drivers of high end Phuket real estate the past decade has been the mega bonus phenomenon in nearby Hong Kong and Singapore. For much of the past 10 years bankers, financial services and those working for blossoming Asian enterprises enjoyed huge annual bonus windfalls.
While 2007 to 2008 were no doubt a glitch in the cycle, company earnings are now back in full force and Asia has indeed led the global market recovery. For the Phuket property sector the question is, will this coming season see the return of these buyers?
All too often there is a misconception between tourist high season and a correspondence to this driving property. While in the broader market this is more relevant at the upper end hope springs eternal with the virtually coming of spring and announcement of individual bonuses.
While some pundits have correctly speculated the in the age of luxury guilt some companies may be looking at stock offerings or non cash payouts, in the broad terms the local industry is seeing an uplift in transactions and potential buyer activity.
In a market where cash remains king, no doubt the twining of cashed up buyers and real estate sold for cash create a potent mix.
Former Indigo personality Daojai (Dao) Tanommuang has set out on her own and established an upscale boutique property agency Niche Real Estate. Looking to provide bespoke personalized services to a growing high end market which includes ocean front property, mega villa resale's and a select offering of new projects Dao has been an industry player on the island for a number of years.
Taking a Jerry McGuire view that being smaller, taking less customers but providing the utmost in assisting buyers through the entire transaction process looking to be a very good niche (hum pardon the pun). With high season bringing a new wave of interest into the lux segment, the timing could be right for the new firm.
A website has been launched, click: <link>http://www.niche-realestate.com*Niche Real Estate</link>
