Phuket is witnessing a surge in foreign millionaires, particularly from Russia, Ukraine, and Europe, seeking to invest in real estate. This trend is driven by geopolitical tensions and the allure of Phuket as a prime location for long-term stays and education for their children. In response, Asset Wise Public Company Limited (ASW) has announced the launch of four new projects, aiming to capture a larger share of the booming market.
Key Takeaways
- Foreign investment in Phuket real estate is on the rise, with a focus on high-income buyers.
- ASW is launching four new projects valued at 15.5 billion baht to enhance its market presence.
- The real estate market in Phuket is expected to grow significantly, with a projected ownership transfer value of 33.73 billion baht this year.
Surge In Foreign Investment
Phuket, a renowned tourist destination, is experiencing a real estate boom as foreign millionaires flock to the island. The ongoing conflicts in Ukraine and Russia have prompted many wealthy individuals to seek refuge and investment opportunities in Thailand. The influx of these buyers is expected to stimulate the local economy and real estate market significantly.
ASW’s Strategic Expansion
In light of this growing demand, ASW has accelerated its expansion plans in Phuket. The company has acquired a 67.94% stake in Rompho Property Public Company Limited, which focuses on developing leisure residences. This strategic move allows ASW to tap into the lucrative market of high-income foreigners looking for properties in prime locations such as Bang Tao, Nai Yang, and Rawai.
New Projects Launched
ASW is set to launch four new projects, collectively valued at 15.5 billion baht. These projects include:
- THE TITLE CIELO RAWAI – Valued at 1.2 billion baht, this project has already seen 90% of its units sold within a week of launch.
- THE MODEVA – Valued at 6.2 billion baht.
- THE TITLE ARTRIO BANG-TAO – Set to open for sale in October, valued at 2.6 billion baht.
- KATABELLO – Located in Kata, this project is expected to launch in early 2025, valued at 5.5 billion baht.
Market Growth Projections
The Real Estate Information Center predicts a total transfer of ownership in Phuket worth approximately 33.73 billion baht this year, marking a 7.1% increase from the previous year. New condominium sales have also surged, with a staggering 259.8% increase in the first half of the year compared to the same period last year.
Targeting High-Income Foreigners
ASW’s focus on high-income foreigners is evident, with over 90% of their customers being international buyers, primarily from Russia, Ukraine, and Europe. The company aims to cater to the needs of these buyers by offering premium real estate options in strategic locations that provide both luxury and convenience.
Future Outlook
As the demand for real estate in Phuket continues to rise, ASW plans to expand its land bank, currently holding over 100 rai, to develop new projects in the coming years. The company is also introducing property management services to enhance the living experience for residents in their developments.
In conclusion, the combination of geopolitical factors and the allure of Phuket as a desirable location for foreign investment is driving a significant transformation in the local real estate market. ASW’s proactive approach in launching new projects positions it well to capitalise on this growing trend, ensuring a bright future for both the company and the Phuket real estate market.