Nowhere is the supply and demand mechanism more apparent that Sathon and Silom.
Developers have a reputation for focusing on the Sukhumvit area of central Bangkok. Here there is a real thirst for property and a huge expatriate population helping drive this. In and around Lumpini is also a popular location and more recently the riverside too. But sights have been turned to Sathon and Silom thanks to the limited supply of property.
Sathon and Silom is considered to be the old business district of Bangkok. However office space has popped up out of this vicinity and over the years the area has become an increasingly desirable area to live. The choice of residential is nowhere as vast as Sukhumvit but that does not dampen its popularity stakes.
What the Sathon and Silom area offers is convenience. Should you be fortunate to live in the area then you luxuriate in a short commute to work. There are countless hospitals suited to range of requirements, plus universities, schools and a host of other amenities. This is exactly why the area is drawing in healthy returns that has caught the eyes of investors. According to Plus Property rental yields for the area are at five percent. This is helping to drive up the cost of land and subsequently capital appreciation. According to the real estate firm at seven percent every year.
Like much of central Bangkok there is a distinct lack of available land. This helps to tip the supply and demand balance in favour of increasing values. And is exactly why the former Australian Embassy on Sathon Road was snapped up by one of the country’s biggest developers. Plus Property have noted that of the handful of new projects that were launched in the area, 85 percent were sold within six months. Illustrating the sheer demand. Consequently it is predicted that land on Sathon Road to increase in value by 78 percent and 53 percent on Silom Road from 2008 to 2019.
If you are looking to invest in property in Bangkok then this is one market to consider. The transport links are extensive being on the BTS and MRT. There is a bubbling community feel and limited supply helps the growth of capital appreciation. Take a browse at Thailand Property’s extensive listings online here to see why so many investors are turning to Sathon and Silom.