6 Promising Locations for Residential Development Driving Up Land Prices
Ms. Suwannee Mahanarongchai, Deputy Managing Director of Strategy Development and Asset Management at Plus Property Co., Ltd., a real estate consulting and property management company, revealed an analysis of consumer behavior in choosing residential properties post-COVID-19. It was found that
the demand for horizontal housing has significantly increased, reflecting a shift towards a new lifestyle that prioritizes functionality, design, environmental consciousness, safety, and hygiene.
The research and development team surveyed residential locations in Bangkok and identified six promising areas suitable for new housing developments that are well-connected to the city center, near public transport, expressways, and large shopping malls:
1. Bangna (Bang Sao Thong – Bang Phli – Bang Bo) offers amenities such as international schools and large mixed-use developments, making it convenient for commuting to the city center. Numerous projects have launched here, with single-house prices ranging from 3-5 million baht. Land prices have grown at an average rate of 6.73% per year from 2016 to 2019, with an average land price of 50,000 baht per square wah.
2. Rama 2 (Bang Khun Thian – Samut Sakhon) is undergoing elevated road and purple line train development, enhancing connectivity between Phra Nakhon, Thonburi, and Samut Prakan. Most new projects are affordably priced at 3-5 million baht. Land prices have consistently increased from 2016 to 2019, averaging 44,000 baht per square wah, with a growth rate of 9.77%.
3. Rangsit - Lam Luk Ka will see the light green line train opening in 2021 and the dark red line from Bang Sue to Rangsit, boosting demand due to improved transport. Prices range from 3-5 million baht, with land prices rising over 10%. Around the Khu Khot station, land prices have increased by an average of 7.45% per year, exceeding the market average at 71,000 baht per square wah. In the Rangsit area, over 50% of properties are priced below 5 million baht, with a sales rate of up to 75%.
4. Bang Yai is another prime location with an average land price of 53,250 baht per square wah, increasing by 7-10% annually. Single houses priced at 3-5 million baht have a sales rate of 75%, while those priced at 5-7 million baht sell quickly, averaging 4-5 units sold per month.
5. Chaeng Watthana - Pak Kret caters to urban living, with land prices increasing by an average of 10% annually, averaging 75,800 baht per square wah from 2016 to 2019. Single houses priced at 5-7 million baht have a sales rate of 51%, followed by houses priced at 7-10 million baht, selling an average of 2-3 units per month.
- Phatthanakan - Prawet is conveniently located for access to the business center and Suvarnabhumi Airport, with an average land price of 70,667 baht per square wah, increasing by an average of 5.54% per year. Popular projects are priced at 5-7 million baht.
