Soaring local demand for Bangkok condominiums

March 19, 2010 - Bangkok

Domestic buyers are responsible for more than 90 per cent of all condominium sales in central Bangkok, according to research published today.

Listed property developer Raimon Land, in its Condominium Focus Bangkok Update, reveals the remarkable recovery of the Bangkok condominium market despite the ongoing domestic political tensions.

The fourth quarter of 2009 saw the Thai economy post 5.8 per cent GDP growth, due primarily to exports to Asian markets bouncing back, leading to developers releasing more projects and local buyers queuing up to purchase them as confidence has streamed back into the industry.

Thai Developer Bets on Market

March 04, 2010 - Thailand

Major Thai resident property developer Land & Houses PCL said Tuesday it plans to launch 17 new projects this year intended to reap a combined 30.95 billion Thai baht ($942 million), but said profit growth could slow this year and cautioned that demand would be capped while domestic political tensions continue to linger.

The Thai property market performed strongly last year despite the country slipping into its first recession in 11 years, with the top three biggest developers all posting double-digit earnings growth. Sales were aided by government tax breaks for the sector.

The government decided not to extend those incentives when they expire March 28. That could pressure the bottom line for real-estate firms like Land & Houses, which said Tuesday it expects net profit growth of single-digit levels this year. Land & Houses posted a 14% rise in net profit last year to 3.91 billion baht.

Number of Japanese living in condos increase

February 04, 2010 - Japan

Families and single occupants living in condos accounted for 11.42 per cent of all households in Japan at the end of 2009, up 0.27 percentage point from a year earlier, data from Tokyo Kantei Co. shows.

But given declines in condo offerings, the percentage may start falling, going forward, the company predicts.

Keppel to develop township in Vietnam

January 28, 2010 - Ho Chi Minh

Singapore developer Keppel Land said it has entered into a joint venture with Vietnamese developers, Tien Phuoc and Tran Thai, through wholly-owned subsidiary Flemmington Investments to develop a waterfront residential township in Ho Chi Minh City’s prime District 2 area.

Keppel said this development is a pilot programme that will be developed in phases.

Keppel will build a social housing project of about 1, 800 apartments and then transfer it to the city.

Condo rental rates in Bangkok expected to face continued pressure.

January 18, 2010 - Bangkok

Rental rates in Bangkok´s condominium market are expected to face continued pressure during 2010 as more new units come onto the market.

Research from DTZ showed that during the final quarter of 2009, six projects with 1,408 units were launched within the Central Business District of the Thai capital.

The total number of launches in 2009 stood at 5,726 – a 196 per cent increase on the 1,938 units the debuted during 2008. Most new launches during the quarter were in the mid-tier range.

AIG Office to Be Converted to Luxury Condos

October 13, 2009 - United States

The New York headquarters of insurer American International Group (AIG) is being converted into luxury condominiums.

In a research note released Thursday, Fox-Pitt Kelton real estate analyst Robert Stevenson calculates the profitability of the transaction for the real-estate developer who bought AIG’s headquarters.

The developer, Young Woo, is planning to turn the top 40 floors of AIG’s 66-story headquarters near Wall Street into pricey condominiums.