As we close the third quarter of 2023, I would like to take TerraBKK members to explore a prime investment location before the year ends at the Eastern Economic Corridor (EEC). This area is particularly focused on developing spaces for relaxation for the elderly and aims to become a hub for health-oriented living, or a Senior-Wellness Living Center, by 2032.

According to a survey by LWS conducted in March 2023, it was found that residential projects in the EEC area are designed to promote senior living. These include condominium projects and residential homes that emphasize Smart & Well-being Residence features to support healthy living for the elderly. For condominium projects, the focus is on communal areas that prioritize green spaces, exercise areas, and innovative materials within the units. For residential homes, including single-family homes, duplexes, and townhomes, the designs prioritize usable space with options ranging from 2 to 4 bedrooms and 2-3 bathrooms, accommodating 1-2 cars, with a bedroom for the elderly on the first floor and home security systems.

It is evident that the development of residential projects around the EEC area emphasizes environmental considerations and amenities that cater to healthy living, making it suitable for retirement residences.

From LWS's survey, by the end of the first quarter of 2023, there were 3,661 remaining units in condominiums in the EEC area, accounting for 36% of the total 21 launched projects out of 10,094. The selling prices range from 1-2 million baht, averaging 40,000-70,000 baht per square meter, with strong sales rates in nearly all locations, including Chachoengsao, Amata City, Chonburi City, and Laem Chabang. The most popular units are 1-bedroom apartments of 23-35 square meters. Some projects also offer special programs for investors, with an average return rate of 6%, attracting both Thai and foreign investors. The survey also revealed a high demand for rental housing in the EEC area, with an average rental rate of 90% for apartments and serviced apartments, reflecting the demand for housing in the area, with average rental prices ranging from 3,500-9,000 baht for units sized 26-30 square meters.

Meanwhile, for residential homes, including single-family homes, duplexes, and townhouses, there are 5,834 remaining units, accounting for 51% of the total 48 projects, with a total of 11,366 units. The sales period is estimated to take about 1-4 years, depending on the location and price range. There are strong sales in certain areas, such as Bang Pakong, Chonburi City, and Laem Chabang, with the best-selling price range being 2-5 million baht, particularly for townhouses and single-family homes.

The purchasing power in this area, as per the survey, indicates that buyers include both investors and employees working in the industrial estate, with an average income level of 20,000-50,000 baht per month. Additionally, the development plan for the EEC anticipates a population influx of at least 350,000 people by 2032, which, if family members relocate together, could increase the population to over a million. This will create a higher demand for both purchasing and renting homes, presenting opportunities for real estate companies to develop residential projects that meet the needs of buyers and investors.

From the perspective of purchasing power compared to the current and future market supply, I believe investing in residential properties in this area presents a great opportunity for investors seeking good returns. At the same time, it is suitable for those looking to purchase homes for retirement, as the EEC area is both a job hub and a location designed and planned to develop into a smart city that promotes healthy living for the elderly (Smart Wellbeing Residence). For anyone looking for investment opportunities at lower prices than those in the Bangkok area, I recommend considering the EEC location. Let's explore it together!

See you again in October. Goodbye!

Article by Mr. Prabhan Sak Raksaiwan
Managing Director, LWS Wisdom and Solutions Co., Ltd.