Watching property lately has been a bit like a match between two bottom of the table English football teams floundering about, late in the game heading to a yawning scoreless draw. You've been wound up at work by one too many espressos. The joyless option at hand is tuning into one of those nauseating 'I eat anything world tours' on the Discovery channel or a mind numbing game of footie between two sides who have pulled their strikers out of the game and content to play defense
At long last January has ushered in some offence and yes there is finally a new launch back of Rawai's 'Eva Beach' project. Fresh off the initial project 'The Eva ' the group had a fab launch party recently with Thai celebrity singer Tata Young. The new product offers two design options of split level townhouses with 420 square meters or 500 square meters of space and three or four levels. Ocean views are a key selling point and year round living back of scenic Phang Nga Bay. Prices range from THB 27-37 million. With 22 units planned, a handful have already been reserved.
Risk and reward are often inseparable companions and the twins often dog real estate like a rabid poodle on steroids. It's going to be intriguing checking back ina few months to see how the game is going for Eva Beach but certainly it's a breath of fresh air seeing some new activity in the market.
In the latest ongoing move to create transparency and tighten the noose on international tax evasion the OECD (Organization for Economic Cooperation and Development) has announced that Samoa has joined the "White List" of jurisdictions now exchanging information.
The financial services sector and global tax havens have been hard pressed the last two years to open up the exchange of data which is targeting tax evader's and money laundering. Many small counties which strongly rely on this segment as a portion of foreign investment inflows are now struggling to find a way replace the lost business back of the OECD's initiatives.
A controversial land and building tax initiative is set to go before Thailand's cabinet in the first quarter of this year according to media reports. The asset based tax will see annual assessments on both land and property which will be determined by the local authorities.
There are considerable concerns about the gray area of rates as these appear to be discretionary and somewhat subjective in terms of determining valuations. Large land owners have expressed concern on the impending legislation which has been tabled as a primary objective of the current Democrat Government of Prime Minister Abhisit Vejjajiva.
As leading Thai listed firm Minor International announced year end results the mixed use St Regis Hotel and Residences have seen the premium penthouse units pre sold. Set to open in Q3, four premium penthouse units with prices close to THB 200 million each have been transacted.
With a prime location in Bangkok's Rajdamri area close to the Four Seasons, Grand Hyatt Erawan and Central World many property analysts have been closely following the launch to see if in fact premium hotel managed residences would sell in the current economic climate.
As thephuketinsider is in Hong Kong one of the areas of upward growth is the continued momentum of Mainland Chinese buyers into the property market. It's now estimated by industry analysts that Mainland buyers now make up 20% of the market either through direct investment or by companies.
This is up 5% form the previous year, and two main drivers are low interest rates and cash liquidity to fund transactions. If Thailand is going to compete in the regional market the lack of debt continues to be the largest hurdle to attract international investors.
Here is one for the property market as a leading Asia Pacific consulting group has released data that 92% of the regions HNWI (high net worth individuals) have liquid assets between US$1 and $5 million dollars.
This pricing point seems to be the sweet spot for developers looking to tap into this lucrative market as many investors are turning back to property due to its relative stability and more predictable long-term appreciation model.
Back of a significant shift in Bangkok residential and commercial development the past few years tracking expansion of mass transit routes such as the MRT and BTS skytrain, the pending Blue Line expansion is attracting land transactions.
Condominium and other large scale projects are the long term goal of developers who aim pursue long term growth following the trail of changing urban living in the cities sprawling skyline.
Back of the increasing international pressure by the OECD (Organization for Economic Co-Operation and Development the Hong Kong legislature has passed a bill expanding the sharing of data with overseas jurisdictions.
Last year in a landmark case between Swiss banking giant UBS and the US Government the institution paid a multi-million dollar fine, and provided the American authorities with information on suspected tax evaders.
The OECD spurred by both the UK and US have aggressively worked to shut down offshore tax havens and provide increased cross bordering sharing of information in order to delve into hidden assets and overseas company shelter set-ups.
Hong Kong currently has double taxation agreements with a number of countries including Thailand.
Thought to be originated by the Wall Street Journal to describe the growing legion of vacant multi million dollar luxury properties in the United States.
As the financial crises continued to spiral over a two year period a combination of speculative building and the inability by developers to sell premium real estate coupled with financial defaults to banks with resulting foreclosures saw a rise in what has not become a phenomenon known as Zombie Mansions.
With no signs on the horizon in many markets for an upswing either in sales or those ill advised negative equity investments the growing number of these mega properties which are abandoned remains on the upswing.
There have been no reports from Hollywood yet as to whether either a reality based TV show or else movie franchise like the 'Twilight' series will be looking at incorporating the term into an entertainment offering.
