The Thai developer behind a chain of Premium Outlet Malls throughout the country has opened a new expanded amusement concept in Cha-Am.
Christened as Santorini Park the theme is based on a Greek island by the same name.
Stories in the Bangkok business daily have quoted the developer who says that working from this model, other Outlet Malls in locations such as Phuket may be expanded in a similar fashion.
Adds-ons to the Cha -Am development include a waterpark and midmarket hotel.
Viewing the groups business model, unlike urban locations the malls are strategically located near transportation access with lower land than found in CBD areas.
Hence the real estate model contains more flex, with low-rise building and income derived from rental of retail and other space.
While the concept is nothing new in the US or Europe, in Asia with a rising middle class and looming tourism numbers, these mass models have tremendous upside.
Ground has been broken on the boutique Mandalay Beach Villas on Laem Noi Beach in Samui.
The estate has 7 villas located on land plots ranging from 800 up to 900 square meters.
Contemporary modern design is being showcased. Other key features include green friendly bamboo flooring, energy efficient LED lighting and solar water heating.
Samui is experiencing uplift in the property sector with the recent launch of the Samujana estate's second phase in Choeng Mon and a series of new residential projects in the planning stages.
Take any trip and you can expect what while you trudge up one side of a mountain the road will lead you down another.
It wasn't that long ago that a strong appreciating Thai baht was causing concerns in many of the country's business circles.
For the key Thai export sector, there was a cloud of concern about loosing out to cheaper labor markets.
While for hotels and property, where most transactions are denominated in local currency,value for money remained a strong negative perception.
In the latest reversal of fortune, Asia has is reeling in marked declines in currency.
Is this bad or good for Phuket?
The likely answer is both. Lower costs stimulate the sales proposition but when you take a step back and realize that the entire region may hit the skids, it becomes very murky.
Exports may be cheaper but where are the markets to sell them to? The expected continued upward climb in volume tourism i.e. The China Syndrome could spiral if domestic growth creeps down to a dead mans crawl.
Perhaps most important is the impact to Thailand's domestic sector from a falling stock market and pressure on the Bank of Thailand to defend the value of the Baht at some point down stream.
Ultimately the best thing is for a stable Baht, which appears to be an impossible task at present.
The prolonged saga in a graft and corruption scandal has hit Sun Hung Kai Properties looks to have no end in sight.
Their portfolio incudes a wide array of hotels and iconic buildings.
The two Kwok brothers – Thomas and Raymond who sit atop one of the leading listed firms in the region have had to post bail and are receiving constant media attention.
Perhaps the biggest fallout has been the toll on investor confidence and impact of falling share prices.
It's anticipated that the investigation could drag on for years and has wide ranging consequences for a once cozy relationship between the private sector and government bodies.
Phuket is continuing to see more arbitration and mediation actions in the property sector.
A relevant upcoming event in Bangkok will offer a full day seminar titled "ICC Arbitration & ADR – Focus on Thailand."
Speakers include experts from Baker & McKenzie, Herbert Smith, ICC International Court of Arbitration and the Thai Arbitration Institute.
The program starts at 9 am on Friday June 8 at the Grand Mercure Fortune Hotel in Bangkok. For non-members the cost is THB3,500.
For more information email: [email protected]
In an effort to spur FDI (foreign direct investment) the Industrial Estate Authority will reportedly establish four new industrial estates.
These are aimed at the lead up for the upcoming 2015 Asean Economic Community (AEC) initiative which is anticipated to grow inter-regional investment.
The four areas are Kanchanaburi, which will strategically link to the nearby Dawei estate in Myanmar.
Others under consideration are Khon Kaen, Chiang Rai and Mae Sot.
Unfortunately Southern Thailand does not figure into the plan at this juncture.
Mattresses all over the continent seem to be growing these days given the most recent bank runs in Spain.
Nervous Greeks and now Spaniards are increasingly worried about both the stability of the Euro and safety of financial institutions.
A growing crisis in Spanish banks which had been heavy lenders during the property boom is not only a domestic issue but could hit UK institutions as well.
While the pound is thought to be a hedge on the Euro, UK banks have substantial debt in Spain, so a domino effect is not out of the question.
In Asia, we are all reminded of a number of banks, which fell over during the contagion of 1997.
What this means for global property is unclear but certainly debt in many markets is only going to get tighter and tighter.
While cash is king and for some buyers this represents opportunistic purchases, for the broader market the current news is not a good sign of things to come.
Malaysia's Desaru is being hailed by some as the next great mega destination resort for the region.
With its key access to Johor Bahru and nearby Singapore the catchment of tourists remains potentially massive.
In the 1980's a large-scale tourism master plan was put together by a Malaysian business interest and Japan's Kajima Corporation. The project was hit by a financial downturn and put onto the backburner.
Now Malaysia's SWF (Sovereign Wealth Fund) Kazanah Nasional Berhad are in the process of a large-scale development on land acquired in 2010.
Two international standard theme parks – Ocean Quest Marine Park and Ocean Splash Waterpark are in the works and set to open in 2014.
The attractions only form part of a bigger plan which includes multiple hotels run by Aman, Datai, and Sheraton. Two golf development have courses designed by Ernie Els and Vijay Singh. And yes there are residences as well.
Expect to hear more of Desaru going forward as its destination development looks to be a shoe in the second time around.
Small condos are increasingly becoming big business in Phuket.
This week Sansiri announced the 806 unit dcondo Creek featuring 806 units will go on sale from June 1st to 3rd.
With 750 studios and 55 two-bedroom configurations its clear that size does count.
In this case that equates to pricing which starts at THB1.1 million.
While the price is relatively small the swimming pool which stretches 100 meters in length isn't.
Expect more from Sansiri which a little bird told us will debut a new project across the street from Central soon.
