Phuket is Thailand's largest island, a paradise for tourists with its stunning natural beauty and significant cultural attractions. This makes Phuket a crucial province for the economy and tourism in Thailand, ranking as a top destination for both Thai and international travelers. In recent years, Phuket has been recognized as both a tourist city and a Workation city, attracting many people, both locals and foreigners, to settle here, as evidenced by various international rankings such as:

  • Top 15 World’s Most Visited Cities 2023 *Ref: Mastercard
  • Top 10 The Best Cities For A Workation 2023 *Ref: Holidu
  • Top 5 The Best Weather City In Thailand 2023 *Ref: Pollution Control Department
  • Top 5 The Best Places To Retire In Thailand 2023 *Ref: Thailand Retirement Plans

In terms of tourism, Phuket has significant growth potential, with around 2,000-3,000 Russian tourists visiting daily and approximately 1,000 Chinese tourists, contributing to 30% of the tourism industry revenue.

The government and private sector have invested over 100 billion baht to develop mega-projects, including the Andaman International Airport, expected to be completed by 2030, making it the second largest airport after Suvarnabhumi Airport. Additionally, the expansion of Phuket Airport Phase 2 will allow it to accommodate up to 18 million tourists.

Currently, the Bang Tao Beach area is the most popular location in Phuket. Bang Tao Beach is one of Phuket's top tourist destinations, a hub for the lifestyle of the new generation, featuring luxury hotels, restaurants, beach clubs, hangout spots, and golf courses, along with various amenities such as lifestyle malls like PORTO DE PHUKET and BOAT AVENUE. With its 8 km stretch of fine white sand, Bang Tao Beach is perfect for relaxation.

Shopping Malls and Lifestyle Malls

  • Porto de Phuket 1.7 km
  • Boat Avenue 1.8 km
  • Plaza Del Mar 2.4 km

Attractions

  • Catch Beach Club 1.5 km
  • Blue Tree Phuket Waterpark 2.8 km
  • Green Elephant Sanctuary Park 3 km

Bang Tao Beach is one of the longest beaches, located 26 kilometers from the city center, with several points for tourist pickups or taxis. Historically, Bang Tao was a tin mining area, but it has now transformed into a location for many luxury hotels and resorts catering to international tourists. Nearby beaches include Kamala Beach, Nai Thon Beach, and Nai Yang Beach.

In the real estate sector, last year, 45% of all new condos launched in Phuket were in the Bang Tao area, the highest proportion. CG Capital, a private fund of the Central Group, stated that Bang Tao is akin to the Thonglor area in Phuket, a lifestyle hub. Before the geopolitical conflict between Russia and Ukraine and the energy crisis in Germany, Phuket's condo market saw a growth of 104% and 113% in 2022 and 2023, respectively. Meanwhile, land prices in Bang Tao, Phuket, have skyrocketed to 100 million baht per rai.

Historically, the rental yield for condos in Phuket has averaged 10% per year, with an average rent of 1,150 baht per square meter. For example, in the Bang Tao area:

  • Studio room, 26 sq.m., rent 32,000 baht/month
  • 1-bedroom room, 32 sq.m., rent 36,000 baht/month
  • 2-bedroom room, 50 sq.m., rent 50,000 baht/month

Currently, there is an increasing interest among foreigners in purchasing villas in Phuket as a second home. Banyan Group reports that consumer insights indicate a demand for residential properties in Phuket, both in the form of vacation homes (villas) and as second homes due to the post-COVID trend of remote work and significant geopolitical shifts, leading to a large migration and a consequent increase in demand for housing in Phuket. It is anticipated that in the next 5-10 years, there will be an additional 5,000 residential units constructed in Phuket.

According to the Thai Real Estate Information Center, in the first nine months of 2023, foreigners transferred ownership of 10,703 condo units worth 52.259 billion baht, with Phuket ranking third in ownership transfers at 686 units, accounting for 6.4% of the total market, valued at 3.425 billion baht.

Tourism remains Phuket's strongest asset, especially following the recovery from COVID-19, with condos and villas in Phuket experiencing a resurgence due to the revival of the tourism industry.

Most new condos for sale are currently located in the western part of Phuket, which is highly popular. Foreign buyers primarily come from Europe and Asia, including Russia, China, and the UK, with many purchasing for rental purposes or as vacation homes or second residences.

The strength of investment condos in Phuket lies in their rental management, ensuring that investors who may not be adept at finding tenants can be confident that their assets will yield a worthwhile return on investment.