It was a big year for the condo market in Bangkok with the amount of supply launched hitting a 10-year record high, according to research from Nexus Property Marketing. This trend is predicted to continue next year with a 10% increase in new launches expected.
“The number of new condo supply launched by large and individual developers totalled 62,700 units from 128 projects, hitting a new high record in 10 years. The new supply launched came from both large and new developers who were willing to bring projects of all sizes to the market in 2017,” says Nalinrat Chareonsuphong, Managing Director of Nexus Property Marketing.
The number of new condo supply launched in 2017 was 15% higher than the average number recorded in the past 5 years. The most popular spot for the new launches was the Phra Khanong-Suan Luang area with more new condos being introduced here than anywhere else in Bangkok.
“The 3 locations with the highest condo supply launch increases were Phra Khanong-Suan Luang with a rise of 23%, Phaya Thai-Ratchadaphisek with an increase of 21%, and Chon Buri— Petchakasem with a growth of 14%. The total number of new supply launched in these 3 locations accounted for 58%of the total in Bangkok in 2017,” says Nalinrat.
The amount of new condo supply expected to be launched in 2018 is predicted to be at least 55,000 units. Most of the new condo supply launched next year will be in inner Bangkok, but some projects could be introduced in outer Bangkok.
“In outer Bangkok locations, the number of new projects being launched will be minimal, but there will be a high unit per project ratio in this area. Condo demand will remain strong and continues to grow at the same rate as supply,” says Nalinrat.