Troubles in Hong Kong haven't been doing any good for China's luxury real estate, but the loss of one is the gain of another. Buyers from mainland China and even embattled Hong Kong have made their way over to Thailand's luxury market, snapping up units in luxury condominiums. They are in it for the more affordable prices the developers are offering.
According to the South China Morning Post, 40% of the condos in a 52-storey Bangkok tower which was opened to the public last week have fallen into Chinese hands, Hong Kong buyers, Taiwanese investors and even Singapore buyers. This is according to Keerin Chutumstid, a Magnolia Quality Development Corporation executive. The company owns the Bangkok luxury tower.
Chinese and Hong Kong investors are drawn to Thailand's more peaceful environment; so are all the other buyers, who have been driving Thailand's recent tourism boom. Most of these new investors and tourists are also driven to the region, taking advantage of the "good level of political stability" that they're experiencing in Bangkok.
Bangkok has been in an industry boom as of late, as the Iconsiam mall opened on the banks of the Chao Phraya River. Khaosod English noted that most of the multi-purpose development's buyers are part of the ultra-rich, ready to take over their purchased penthouses and units.
In a display of wealth and power, by the press opening day on Wednesday the 52-story Residences found most of its 146 rooms sold to the tenants or o investors looking for residential properties. Chutumstid said that there were very few rooms left and most of the rooms were reserved for people "with an eye for quality."
Getting to the condo takes one through the Patek Phillipe and Alexander McQueen shops on the ground floor of the mall. A man in Thai costume, driving a golf cart, greets the tenants. They pass the Magnolias Waterfront Residences along the way to the Iconsiam's lobby.
The fourth and fifth floors of the Residences have been made into a "river clubhouse." It is reserved for the ultra-rich to party, with an infinity pool built to stare into the river.
Thailand is doing everything it can to take advantage of the current influx of new buyers. Keerin even said that, compared to Hong Kong, property in Thailand is still much cheaper. Foreigners can expect to receive the same kind of residential or commercial experience they get in Hong Kong at Thailand for a lower rate, he added.
