With a population of more than 8 million spread over such a vast area, Bangkok provides an entirely unique property market that, at the same time, can also be extremely daunting.
New and off-plan property offerings vie for attention with second-hand resale properties, buy-to-lets and renovation projects in most parts of the city, often providing one-of-a-kind and compelling opportunities for savvy local and international buyers and investors.
“Location, location, location” could not be more important in Bangkok, with its plethora of neighbourhoods and thoroughfares that can even confuse the most astute residents. While capital appreciation and rental yield opportunities are available in all areas of the Thai capital, the general rule of thumb is that it’s always best to restrict property investments to Bangkok’s central business district (CBD).
While the exact limits of Bangkok’s CBD are the subject of many discussions, most Bangkok property professionals in the city will agree the three areas that are considered to be prime are:
- Sukhumvit area.
- Silom and Sathorn area.
- Ploenchit and Wireless Road area.
Sukhumvit Road runs across the city. It is arguably the most diverse and exciting area of Bangkok, and its appeal comes from the multitude of retail, residential and commercial developments that have been fuelled by the development of the BTS Skytrain that allows residents to travel across the city in minutes.
The area is ideal, for commuting or travelling for leisure. The work life balance that the area offers contributes to its desirability amongst the city’s expatriates and locals. Technically the Sukhumvit area is extensive so when referring to the CBD just a small part is considered prime. These areas are from BTS Nana through to BTS Ekkamai.
Nana
This area has become one of the most cosmopolitan parts of Bangkok, making it a popular residential area for expatriates. Sukhumvit Soi 11 is a popular nightlife spot which attracts a crowd of young professionals, and the streets between Sukhumvit 3 and Sukhumvit 5 have attracted a large Middle-Eastern community. A notable landmark is the Bumrungrad Hospital – a five-star medical facility that provides state-of-the-art care and has established a reputation for medical tourism. Nana has always been part of the CBD and there is a good mix of quality condos, new and old. Some of the newer developments available include the ultra-luxury “Q Sukhumvit” and “Hyde Sukhumvit”.
Asoke
This area is where the BTS Skytrain crosses the MRT Line (Mass Rapid Transport), thus it’s a busy intersection where commuters and travelers congregate. The Asoke intersection is also connected to two major roads, notably Phetchaburi Road to the north and Rama 4 Road to the south. This accessibility has made Asoke an attractive office hotspot. An important landmark which has boosted the prominence of Asoke as a business destinations is the presence of the Stock Exchange of Thailand on Rachadaphisek Road. From a residential perspective, Asoke’s northern tip (around Phetchaburi Road) is a hotbed of new development. This can be attributed to the presence of good public transport networks and also the fact that numerous top Thai developers have purchased land banks for development. Developments under way include “Q Asoke by Q House” and “Life Asoke by AP Thai”.
Phrom Phong
Currently one of the most exciting areas on Sukhumvit, the massive EmQuartier development by The Mall Group alongside the modernisation of the Emporium shopping mall has made Phrom Phong the shopping heartland of Sukhumvit. The Mall Group is also developing a third shopping centre to be named Emsphere – dubbing the trio the The Em District. While Phrom Phong has always been an established area of the CBD, these retail projects have transformed the area into an ultra-desirable residential neighbourhood. Investors looking to buy in Phrom Phong have a choice of old and relatively modern second-hand condos, as well as new developments.
Thong Lo/ Ekkamai
These two neighbourhoods are both fashionable and trendy with plenty of restaurants, bars, cafes and shops. The area is alive during the day with its multitude of retail spaces and coffee shops popular with families, and at night with Thong Lo Soi 10 offering an eclectic collection of bars and nightclubs. Thong Lo/ Ekkamai are generally considered upmarket, and this makes it a popular hangout spot for young professionals. Bangkok’s Japanese expat community cluster around this area too. Both areas offer an attractive lifestyle, and therefore condo developments in the area have benefited from a healthy dose of capital appreciation. They are also always great for buy-to-let investors.
Phra Khanong/ On Nut
While many will argue that these two areas are not quite CBD material, their proximity to areas like Thong Lo, Phrom Phong and Asoke – thanks to the BTS Skytrain – has transformed these areas into commuter belts. Both neighbourhoods are attracting a population of working professional (both expats and Thais) and young families seeking better-value condos on both the rental and sales front. This trend has not gone unnoticed, and numerous major Thai developers have started to invest. One notable development is The Base by Sansiri (On Nut), inspired by the concept of community living the developer has developed three residential condos (The Base Sukhumvit 77, The Base Park East and The Base Park West). They have also invested into improving living in the locality and are in the process of developing a retail mall to cater for residents of its developments.
The bottom line is that Bangkok residential property is about investing into areas where people want to live. The Sukhumvit area offers an incredibly attractive lifestyle option where residents can balance work and leisure. The different areas within Sukhumvit offer a diverse choice – with each neighbourhood catering to the needs of people with different needs and lifestyles. This diversity and choice means that in the years to come, Sukhumvit will continue to thrive as a residential property investment hotspot.
This article was written by Pierre Leung, Sales Manager of Fresh Property, a boutique property agency that specialises in sales and rental of residential property in the Sukhumvit area of Bangkok. It first appeared in Issue 9 of Thailand-Property magazine.
