thailand's property outlook for 2012

1ศู�นย์�ข้�อมู�ล วิ จั�ย์และประเมู นค่�าศู�นย์�ข้�อมู�ล วิ จั�ย์และประเมู นค่�าอสั�งหาร มูทร�พย์�อสั�งหาร มูทร�พย์�ไทย์ไทย์AAGENCY FOR REAL ESTATE GENCY FOR REAL ESTATE AFFAIRS (AREA)AFFAIRS (AREA)

ISO 9001-2008CERTIFIED

THAILAND’S THAILAND’S PROPERTY OUTLOOK PROPERTY OUTLOOK

20122012

THAILAND’S THAILAND’S PROPERTY OUTLOOK PROPERTY OUTLOOK

20122012Pattama Chantranukul, BA

Cert.Appraisal, LRTI - Lincoln Inst.AGENCY FOR REAL ESTATE AFFAIRS

Marc-Henri J. Kijner, LLC - MBA KIJNER & SONS INTERNATIONAL REALTY

Pattama Chantranukul, BACert.Appraisal, LRTI - Lincoln Inst.

AGENCY FOR REAL ESTATE AFFAIRS

Marc-Henri J. Kijner, LLC - MBA KIJNER & SONS INTERNATIONAL REALTY

Photo courtesy of: Thai Log



AGENCY FOR REAL ESTATE AFFAIRSAGENCY FOR REAL ESTATE AFFAIRS



An independent property consultants specializing in international standard valuation, survey, research and information services while refraining from real estate brokerage and self-interest property development to avert a potential conflict of interest, thereby ensuring the integrity of our valuation and research

work.



GLOBAL COMPACT for transparencyGLOBAL COMPACT for transparency

Signed in front of Mr.Watana Signed in front of Mr.Watana Muangsook, H.E. Minister of IndusMuangsook, H.E. Minister of Indus

try and UN exec. try and UN exec. (May 13, 2005)

2005 Winner of 2005 Winner of the Ethical Corporation of the the Ethical Corporation of the

Thai Chamber of CommerceThai Chamber of Commerce

AREA, the only and AREA, the only and wholly ISO 9001-2008 wholly ISO 9001-2008

certified property certified property consultant firm consultant firm

in Thailand since 2000in Thailand since 2000

AREA winning the AREA winning the Prize on the Prize on the Sufficiency Sufficiency

Economy Concept oEconomy Concept of His Majesty the Kinf His Majesty the Kin

g in 2007g in 2007



BANGKOK REAL ESTATE MARKETSBANGKOK REAL ESTATE MARKETS



1,317 Existing Housing

Projects Which Still Have Units Available for Sale as of Mid 2011

955955 projects projects with with >> 20 units 20 units

availableavailable



Newly Launched Real Estate Projects

-Jan Jun 2011

233 projects



Example of a Newly Launched Development Le Monaco (Ari, Bangkok)



Best Condo Development 2nd Price at Property Award



Best Condo Development2nd Price at Thailand Property

Award December 7th 2011



Example of a New Green Development Le Monaco (Ari, Bangkok)

In 2007, prices were at 85000/95000In 2009, prices were at 100,000/120,000In 2011, the minimum price for new residential condo in the area was 110,000 and this project is selling at 134,000 Our investors have gained over 20% of capitalization in 5 years



New constructions must be:• Green environmentally sustainable• High quality materials• Have large usable unit space• Luxury living refined at affordable price• Have controlled property management costs



Source: Knight Frank Residential Research, Economist Intelligence Unit

BANGKOK : THE CITY FOR INVESTORS



Housing Units Remain As of June 2011



PHUKET REAL ESTATE MARKETSPHUKET REAL ESTATE MARKETS



Map of Resort Homes and

Condominiums in Phuket as of

November 2011

114 Projects



Price Range No. 0f Total Average Units Preriods

(Mil.Baht) Projects Total Sold Left Value unit price Unit Sold Left Value Sold to go

(Mil.Baht) (Mil.Baht) Average (Months)

per Month

2.000-3.000 10 519 303 216 1,347 2.596 8% 58% 42% 1% 1.2 18.2

3.001-5.000 26 1063 616 447 4,448 4.184 17% 58% 42% 5% 1.2 14.9

5.001-10.000 53 2144 1244 900 15,155 7.069 34% 58% 42% 17% 0.8 21.6

10.001-20.000 52 1286 828 458 18,809 14.626 21% 64% 36% 21% 0.4 21.5

20.001-40.000 33 746 468 278 20,619 27.640 12% 63% 37% 23% 0.3 32.4

40.001-60.000 9 302 183 119 13,876 45.946 5% 61% 39% 15% 0.4 36.2

60.001-80.000 3 53 46 7 3,837 72.396 1% 87% 13% 4% 0.3 9.0

80.001-100.000 1 14 14 0 1,225 87.500 0% 100% 0% 1% 0.9 0.0

>100.000 5 89 71 18 12,101 135.970 1% 80% 20% 13% 0.2 17.9

Total 114 6,216 3,773 2,443 91,417 14.707 100% 61% 39% 100% 1.0 20.5

Overall (Villa & Condominium)

No. 0f Units Percentage of

Table 1: Situation of the Resort Property in Phuket offered for sales as of November 2011

Overall as of November 2011






per Month

Villa

3.001-5.000 2 110 74 36 467 4.244 6% 67% 33% 1% 1.9 9.3

5.001-10.000 11 154 66 88 1,315 8.539 9% 43% 57% 2% 0.4 21.6

10.001-20.000 22 544 373 171 8,626 15.857 31% 69% 31% 16% 0.4 21.9

20.001-40.000 24 569 368 201 16,446 28.903 32% 65% 35% 30% 0.3 31.8

40.001-60.000 7 232 122 110 11,062 47.682 13% 53% 47% 20% 0.3 56.2

60.001-80.000 3 53 46 7 3,837 72.396 3% 87% 13% 7% 0.3 9.0

80.001-100.000 1 14 14 0 1,225 87.500 1% 100% 0% 2% 0.9 0.0

>100.000 5 89 71 18 12,101 135.970 5% 80% 20% 22% 0.2 17.9

Total 57 1765 1134 631 55,079 31.206 100% 64% 36% 100% 0.5 23.6

Proportion 28% 30% 26%



Villa as of November 2011






per Month

2.000-3.000 10 519 303 216 1,347 2.596 12% 58% 42% 4% 1.2 18.2

3.001-5.000 24 953 542 411 3,981 4.177 21% 57% 43% 11% 1.1 15.8

5.001-10.000 42 1990 1178 812 13,840 6.955 45% 59% 41% 38% 0.9 21.6

10.001-20.000 30 742 455 287 10,183 13.723 17% 61% 39% 28% 0.5 21.2

20.001-40.000 9 177 100 77 4,173 23.578 4% 56% 44% 11% 0.3 33.9

40.001-60.000 2 70 61 9 2,813 40.191 2% 87% 13% 8% 0.7 6.8

Total 57 4,451 2,639 1,812 36,338 8.164 100% 59% 41% 100% 1.6 19.6

Proportion 72% 70% 74%

Condominium


Condominium as of November 2011




PROPERTY PRICE CHANGESPROPERTY PRICE CHANGES



Land Price Changes in the BMR 1985-2011Land Price Changes in the BMR 1985-2011



Map Map88 : Top : TopTenTen

Locations Locations with with

Highest Pri Highest Pricece aa s of s of20112011

(4 Rai)(4 Rai)

No. Zones Zone Name Price (Baht/Sq.wah.)

1 I2-4 Siam Square 1,400,000

2 BTS-9 Siam Station 1,400,000

3 BTS-15 Chit Lom Station 1,400,000

4 BTS-16 Ploenchit station 1,400,000

5 I2-5 Wireless Rd. 1,100,000

6 I4-2 Silom 1,100,000

7 BTS-10 Ratchadamri Station 1,100,000

8 BTS-11 Sala Daeng Station 1,100,000

9 I3-1 Sukhumvit, Time Square 1,000,000

10 I4-3 Sathorn 1,000,000



Map Map99 : T : TOP 10OP 10 Locations with Locations with

Lowest Price Lowest Price aa s of s of 2011 2011

(4 Rai) (4 Rai)

I4-8J2-1

I4-7

I4-3I3-3

I4-6

J2-2

L1-2I4-4 I3-5I4-2 I3-4I4-1

C1-2

N3-1

N3-2

C2-1C4-1

B3-1

D6-2D6-3C2-2

I1-3I2-3

I1-2I1-1

I2-5I2-2I2-1I3-1

L1-1L2-2

K6-1 G3-2

E1-4

E1-2 E2-2.1

M2-3

K6-4 K6-2

L2-1

K6-3.1K6-3.2

J2-5.1J2-5.2J1-1

E2-2.2

M1-4

M3-2M3-1

F3-1

A6-2

A6-5

N6-2

N6-3

A1-1

A7-1

A7-2

A2-3

A2-2

A2-1

A4-3

A4-1

A4-2

A5-1

A5-3 A5-2

A1-2

A3-4

N7-3N7-4

N7-2

N5-2

N5-1

N4-2N4-1

N7-1

N6-1

A3-2A3-1

B2-1

B3-2C1-1

N4-2 N2-2 N1-3

N1-4

N1-1N1-2

M1-2M1-1M4-1

K4-1

M1-3M2-1

M2-4 M2-5L3-1

L3-2

C1-3B5-1 D3-1

F2-2F2-1C4-2

C4-3

C4-4

F1-1

F5-1

F5-2

F3-3F3-2

F3-4D4-1

D6-1

D2-2

D2-1

A3-3

D1-1D1-2

A6-1

D5-1

E1-3

E1-5E7-1

E7-4E7-2 E7-3

E1-1

E2-3

E4-1

E5-3 E5-1

E5-2

E4-3

G5-1

E6-1

G2-4

H8-2

G4-1

G2-3

K4-2

K3-1 K2-1

K2-2

K2-3K1-1

K5-1

J2-3

I4-10I4-9

I4-5

I2-4 I3-2

K3-3K3-2

M5-1

E2-1

G2-1G1-2

G1-1

I3-6

J2-4 H4-1H2-1

G3-1

H1-1

H4-2

H5-1

H3-1H8-1

G4-3

G4-2

H5-2

H6-2H6-1

H7-3

H7-1H7-2

H8-3 H8-4

H8-6

G5-3

G5-4

H8-5

G5-2

G5-5

H9-1

E4-2

E3-1

A6-3

A6-4

G2-2

G3-3

E4-4

M2-2

No. Zones Zone Name Price (Baht/Sq.wah.)

1 A6-4 Liab Klong 13 Rd., km. 5 2,500

2 A1-2 Opposite Bang Sai Craft Centre 4,600

3 E3-1 Pracha Samran 5,000

4 E5-2 Lam Toy Ting 5,000

5 G5-5 Motorway km.34 5,200

6 A5-3 Rangsit-Wang Noi Rd. 5,500

7 H7-2 Sukhumvit km. 46 Bang Bor 5,500

8 N6-3 Outer Ring Rd., Samkok 6,000

9 A2-2 Eastern Outer Ring km.8 (Bang Khan-Wang Noi) 6,500

10 A2-3 Liab Klong Rapipat 7,000



Phuket’s Phuket’s BeachBeach

LandLandPrices:Prices:July 04July 04Apr. 05Apr. 05

Mar. 07 Mar. 07 Mar. 08Mar. 08Aug. 09Aug. 09

Mai Khao

Nai Thon

Bang Tao

Surin

Patong

Karon

Kata

Rawai

Ao Maphrao

Ao Po

Sapam

Phuket

5.0 | 5.0 | 7.0 | 8.0 | 8.5

7.0 | 7.0 | 8.0 | 10.0 | 11.0

7.5 | 7.5 | 10.0 | 11.0| 12.0

9.0 | 10.0 | 12.0 | 14.0| 15.0

40.0 | 40.0 | 60.0 | 70.0| 80.0

20.0 | 20.0 | 25.0 | 30.0| 35.0

10.0 | 12.0 | 15.0 | 18.0| 20.0

5.0 | 5.5 | 6.0 | 7.0| 7.5

2.5 | 3.0 | 4.5 | 5.0| 5.0

3.0 | 3.5 | 4.5 | 5.0| 5.0

3.0 | 3.3 | 4.0 | 4.5| 4.5

6.0 | 6.5 | 7.0 | 8.0| 8.5

Chalong 5.0 | 5.5 | 6.0 | 7.0| 7.5

Ao Kung

2.0 | 2.2 | 2.5 | 3.0| 3.0

Nai Yang6.0 | 6.0 | 8.0 | 9.0 | 9.5

Kamala10.0 | 12.0 | 15.0 | 16.0| 17.0

Serae5.0 | 5.0 | 7.0 | 8.0| 8.0



Why NOW is the best time to invest in Thailand?

• Comparative price with HK per m2 is 5 times lower• Geostrategic and market power shifting• Lowest price in southeast asia• Ease of administrative documentation, low taxes, stable international and domestic rental market, proximity for HK/China, in-house lawyer and accountant to assist you• International hub to reach your client, business or leisure• Comme and see us on our booth C9-C11 to continue discussion



THANK YOU

QUESTIONS & ANSWERS

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thailand's property outlook for 2012

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