Mass Transit Networks Influence Price Increases

DDproperty Editorial Team
Mass Transit Networks Influence Price Increases
There is a real appetite for living near Bangkok’s mass transit network despite Thailand’s love affair with cars. The public transportation infrastructure has been growing at a rate of knots and bringing once far away suburbs closer to the city centre. It is reliable compared to the unpredictability of traffic on the roads, is efficient and also is a greener way to travel.
Before its arrival, many residents invested in city boltholes near their place of work to spend their week saving time on a daily commute. Weekends would be spent in their home out of the city centre that afforded more space and a break from city life.
However, the BTS and MRT network has allowed Bangkokians to work in the CBDs and commute easily from other areas of the city and even neighbouring provinces such as Nonthaburi and Samut Prakan.
The COVID-19 global pandemic also forced many people to work from home. Subsequently, there was an increased desire for space with many people shifting their lives to the suburbs where larger homes are located at a more affordable price tag. However, these homes need to be within close vicinity to the mass transit network to enable residents to easily travel in central locations as they please.
Therefore it comes as no surprise that the Thailand Property Market Index Q1 2021 revealed that the areas with the highest Price Index growth are situated near newly opened or nearly opened BTS stations.
A pattern that is emulated in many cities across the world particularly where residents are encouraged to use public over private transportation to reduce congestion and to minimise pollution.
The highest Price Index growth near  BTS stations
In Bangkok, Anusawari in Bang Khen district has recorded a 7% increase from the previous quarter and 6% for the year. This is due to the BTS Green Line extension including the opening of 11th Infantry Regiment, Wat Phra Sri Mahathat, Phahon Yothin 59, Sai Yut and Spahan Mai stations.
Meanwhile, Lat Phrao area in the district of the same name enjoyed a similar quarter-on-quarter growth but has increased a staggering 10% year on year. Single-detached houses experienced the highest hike in value quarter-on-quarter of 5% illustrating the thirst amongst homeowners for space and privacy.
Lastly, Thung Song Hong in Lak Si area benefits from being close to the BTS Dark Red Line Bang Sue-Rangsit that is due to be operational this year. Here prices rose 6% quarter-on-quarter and 14% year-on-year suggesting how homeowners are earmarking future opening stations when investing and appreciating how this infrastructure can help drive values upwards.
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