SISSA Group calls for the new government to expedite campaigns to revive tourism in Phuket, boosting the real estate sector. The primary customer base remains Russian nationals seeking to purchase pool villas priced between 6 to 100 million baht, with second homes accounting for up to 80%. Major local and national developers are fiercely competing to launch pool villas in prime locations such as Bang Tao, Layan, Rawai, and Nai Harn. Land prices have increased by 20% post-COVID-19, with Patong still the most expensive at 200 million baht per rai. The company plans to launch 4 new projects in 2023, totaling over 8 billion baht, confident in the strength of the medical business as the first to invest in a "Medical Wellness Resort," aligning with government measures to promote Phuket as a "Medical Hub" in the ASEAN region, emphasizing medical personnel both locally and internationally, along with modern equipment. The "Wyndham Grand Nai Harn Beach Phuket" is already operational.

Mr. Attanop Panthukhamneid, CEO of SISSA Group Co., Ltd., a leading investment property developer in Thailand, shared insights on the tourism market in Phuket, noting a positive response from tourists, which has benefitted the real estate sector. With the establishment of the new government, he hopes for enhanced campaigns to attract more tourists to Thailand and Phuket, as well as improvements in the province's infrastructure through better investments. A thriving tourism sector will continuously benefit the real estate market.

Mr. Attanop Panthukhamneid
CEO of SISSA Group Co., Ltd.

Regarding the overall real estate market in Phuket from late 2022 to early 2023, it is observed that tourists are beginning to return, positively impacting hotel and residential businesses, leading to increased transactions. The primary buyer group remains Russian nationals, accounting for 80% of purchases as they seek second homes in Phuket, particularly in the pool villa market priced between 6 to 100 million baht. However, during the low season in Q3 2023, the Phuket market is relatively quiet compared to the high season, with expectations for a stronger return of Chinese tourists not materializing as anticipated. The high season at the end of this year will be closely monitored.

In 2023, investment from developers has seen an increase in new projects, especially pool villas, from both local and Bangkok-based developers, primarily targeting the mass market with prices ranging from 7 to 30 million baht, distributed around Phuket. Demand has risen as the supply of pool villas has not met demand, leading to strong sales in the post-COVID-19 recovery. The most popular locations are Laguna, Bang Tao Beach, Layan, followed by Rawai and Nai Harn. The condo market has seen less development due to increased demand for houses and villas during the COVID-19 crisis.

“During COVID-19, land prices did not rise significantly, but they have now increased by about 20%. The highest land prices are still in Patong, reaching approximately 200 million baht per rai. Phuket still has considerable development potential, but most demand comes from foreigners, leading to less intense competition compared to Bangkok,” Mr. Attanop stated.

Mr. Attanop discussed the operational direction of SISSA Group in 2023, announcing the launch of 4 projects totaling over 8 billion baht, including:

1. Nai Thon Medical Center and Resort with an investment of 3.3 billion baht, developed as a health and beauty center alongside a luxury 6-star resort. The hotel section is already operational, while the medical facility is expected to open in Q1 2024.

2. Medical Wellness Resort at the “Wyndham Grand Nai Harn Beach Phuket,” with an initial investment of over 70 million baht for the first phase, covering approximately 500 square meters. It will feature the “Plenary Wellness” center for health and beauty, offering in-depth health check-ups, anti-aging medicine, physical therapy, and aesthetic medicine. The second phase will focus on Men’s and Women’s Health, providing comprehensive health care for both genders. The third phase is under study for potential services, with an estimated total investment of around 300 million baht for all three phases.

“Medical services represent a new product in the wellness resort market, focusing on health care within hotels. Another model is medical services with specialized clinics. Our company combines both models into a “Medical Wellness Resort,” emphasizing preventive medicine for good health. We are among the first operators in this format, with strengths in medical personnel from Thailand and abroad, along with modern medical equipment, currently facing very few competitors, while other operators have different selling points,” Mr. Attanop explained.

3. Pool Villas at Layan Beach, currently unnamed, referred to as “Layan Villa,” with the first phase covering 16 rai, comprising 26 villas priced between 1 to 2 million USD or approximately 35 to 70 million baht, with a project value of 1.5 billion baht.

4. The 2nd phase of The Eight Pool Villas at Chalong Bay, covering 11 rai, comprising 60 villas priced from 7 to 10 million baht, with a project value of 600 to 700 million baht.

For the “Wyndham Grand Nai Harn Beach Phuket,” during the high season from December 2022 to April 2023, occupancy rates exceeded 90%. However, in the recent months of May to June 2023, occupancy rates dropped to 60-65%, typical for the low season, with a diverse international clientele from Europe, China, India, and the Middle East.

Notably, the “Wyndham Grand Nai Harn Beach Phuket” is located near Nai Harn Beach, covering a total area of 11 rai, consisting of 12 four-story buildings with room sizes ranging from 40 square meters to 65 square meters, totaling 353 units. Four buildings operate as a full-service hotel, while eight buildings are available for investment and managed by the “Wyndham Hotel Group,” with a project value of 3.2 billion baht, allowing joint ownership starting from just 1 million baht! We warmly welcome everyone to utilize our services.