Mr. Prabhanasak Rakchaiwan, Managing Director of LPN Wisdom and Solutions Co., Ltd. (LPN Wisdom) a real estate research and development company under L.P.N. Development Public Company Limited (LPN), revealed the results of a real estate market survey in the 'Taopoon-Bang Sue-Bang Pho-Bang Chon' area. From 2013 to 2020, this area saw 18 condominium projects launched, totaling 19,300 units, with 15,500 units sold, accounting for 80.31% of all launched projects. The average sales rate was 200 units per month in 2019, up from an average of 150 units per month in 2018, leaving only 3,800 units unsold by the end of 2019.

“Despite the economy showing signs of slowing down in 2019 and continuing into 2020, the purchasing power for housing in the Taopoon-Bang Sue area has remained strong, driven by the launch of the Blue Line extension from Bang Sue to Thaphra and the construction of Bang Sue Grand Station, which is expected to open in early 2021. This has increased consumer interest in purchasing housing around the Taopoon area, which is a residential hub with surrounding communities, especially for properties priced below 2.5 million baht per unit,” said Mr. Prabhanasak.

Once Bang Sue Grand Station opens in 2021, it will become the largest public transport hub in Thailand, connecting four future electric train lines: the Blue Line, Purple Line, Dark Red Line, and Light Red Line. Additionally, it will serve as the starting point for two high-speed rail routes: Bangkok-Chiang Mai, covering 670 kilometers, and Bangkok-Nong Khai, covering 615 kilometers. There will also be an extension of the Airport Rail Link with five stations connecting Phaya Thai Station to Don Mueang Airport and Suvarnabhumi Airport.

“In addition to Bang Sue Grand Station being the largest public transport hub in Thailand, the government also plans to develop the surrounding area into a Transit Oriented Development (TOD) covering over 300 rai of commercial space. This mixed-use land development around the train station will transform it into a model smart city, equipped with various digital infrastructure and energy systems, leading to the emergence of a large community with a population of at least 2 million people utilizing the area. This will make Bang Sue Grand Station a new economic center for Bangkok. Due to this development approach, several real estate developers have launched residential and commercial projects in this area to meet the growing demand, with development plans starting in February 2013 and expected to be completed and operational in the first quarter of 2021,” Mr. Prabhanasak stated.

The expansion of investments and developments in both residential and commercial sectors in this area has led to an increase in land prices in the 'Taopoon-Bang Sue-Bang Pho-Bang Chon' area, rising from an average price of 90,000-100,000 baht per square wah in areas adjacent to major roads in 2013 to an average of 130,000-150,000 baht per square wah in 2019, reflecting an increase of approximately 40-50% over six years, or an average annual increase of 6-8%. Meanwhile, land prices in alleys (but adjacent to major roads and electric train lines) have risen from an average of 50,000-70,000 baht per square wah in 2013 to 90,000-100,000 baht per square wah in 2019, also reflecting a 40-50% increase over the past six years, or an average annual increase of 6-8%.

Residential development in this area focuses more on condominium buildings rather than single-family homes due to limited space, with most condominiums priced at an average of no more than 3 million baht per unit.

“Taopoon is a location close to Bang Sue Grand Station and is served by the Blue Line, making it suitable for both residential and investment purchases. Investment purchases yield an average return of 5% per year, with rental prices averaging 8,000-10,000 baht per month for studio and one-bedroom units of approximately 22-26 square meters. It is indeed a prime location for both living and investment,” Mr. Prabhanasak concluded.