Posts Tagged ‘property’

More and More Brits Headed to Thailand

Monday, November 8th, 2010

While Thailand may be better known as something of a backpacker’s destination, its breathtaking scenery, glorious white beaches and warm seas are attracting increasing numbers of foreign second homeowners.

It is not hard to see why people are drawn to this fascinating and beautiful country. Its beaches, mountains and rolling countryside are exotic and wonderfully relaxing. The food is exquisite and fresh, the people the friendliest you will ever meet. Thai temples contrast with sprawling markets and deserted islands are within easy reach of bustling cities.

Thailand is a diverse country, and whether you are looking for a serene island getaway or a crash pad in the midst of all the action of Bangkok, there are properties available that will provide a good rental income too.

The best rental markets tend to be found in the popular tourist areas of Bangkok and Phuket, but good money can also be made from investing in property that appeals to those looking for a remote getaway. Thailand’s mainland is surrounded by idyllic islands, with warm seas and soft white sands, and development in these areas is on the increase.

Before making any purchases or investments in Thailand, it is important to note that foreigners cannot own land in the country unless they go down one of two routes. The first is to purchase property through a company, which is reasonably easy and inexpensive (around £1000) to set up.

The second option is to purchase through a leasehold agreement, applying for a standard leasehold and then increasing your lease by thirty years at a time until totalling an agreement of ninety years. Any good agent will be able to help you through the leasehold process, which costs around £1500 to carry out.

source – www.sfgate.com

Asian Property boosted by three

Monday, September 27th, 2010

Asian Property Development has revised its presales target for the year from Bt20 billion to Bt21 billion thanks to strong demand for its condominium projects, especially three launched this week under The Rhythm brand.

Senior vice president Poompat Sinacharoen yesterday said the company already had presales of Bt4 billion from the three new projects, which are worth Bt9.6 billion combined and will officially be launched on October 9-10.

That success has driven Asian Property’s overall presales to Bt11.5 billion, a level that will rise to between Bt12 billion and Bt13 billion for the first nine months of the |year. As a result, the company has revised its presales target from |Bt20 billion to Bt21 billion for the full year.

The company had previously adjusted the target from Bt18 billion to Bt20 billion only last month.

The locations of the three new condominiums are Sathorn, a project worth Bt4 billion and 50 per cent of which is already sold; Sukhumvit 50, worth Bt2.4 billion and 85 per cent sold; and Phaholyothin-Aree, worth Bt3.2 billion and 21 per cent sold.

Construction will commence at the end of this year and completion is scheduled for 2013.

Kasikornbank and Siam Commercial Bank are providing loans to fund the projects.

Meanwhile, Asian Property’s net profit will be higher than previously estimated following the conclusion of a deal to buy a 49-per-cent stake in a joint venture with Pacific Star Group, for the development |of two condominium projects |under The Rhythm brand on Ratchadaphisek and Ratchada-Huai Khwang.

“We will generate net profit of between Bt400 million or Bt500 million from this deal when both projects complete and transfer more than 20 per cent to customers, and that is a good deal for both parties,” Poompat said.

Asian Property also plans to launch two condominium projects worth Bt4.2 billion combined on Rama IV and Ngam Wong Wan next month. Both projects will offer prices below Bt2 million per unit.

“We will use the new brand [The Rhythm] for both projects,” said the company’s deputy chief officer for strategic marketing, Vittakarn Chandavimol.

Meanwhile, the company has launched three townhouse projects together worth Bt5.08 billion this quarter under the Baan Klang Muang brand. They will be located on Onnuj, Sathorn-Taksin and Rama IX-Lat Phrao.

Vittakarn said demand for the developer’s condominiums re-mained strong, especially for one-bedroom units, as a result of its new projects being located close to Bangkok’s mass-transit system.

However, the size of units in most of the new projects will be smaller than before, as compactness will attract more buyers, he added. One-bedroom units now on offer have utilisable space of between 35 and 55 square metres.

Asian Property has recorded strong growth this year, posting revenue of Bt8.4 billion and net profit of Bt1.5 billion in the first half. The company has a backlog worth Bt22.77 billion.

source – www.nationmultimedia.com

Thailand Attracts Foreign Spending

Friday, September 24th, 2010

Thailand will attract increased foreign investment and infrastructure spending, a “more significant driver” of growth that will boost industrial estate developers such as  Amata Corp., according to JPMorgan Chase & Co.

Foreign direct investment that increased to $7.4 billion in the first half of 2010 is poised to accelerate in 2011, Sriyan Pietersz and Adrian Mowat wrote in a report dated yesterday. Japan and China may be “key players” in the spending that may also boost Hemaraj Land & Development Pcl and Rojana Industrial Park Pcl, the analysts wrote.

Ford Motor Co. and Mazda Motor Corp. said in August they plan to spend $350 million to expand a jointly owned pickup truck factory in Thailand, shrugging off the country’s worst riots in almost two decades. Investment commitments from automobile and electronics companies that include Nissan Motor Co. and Toshiba Corp. exceed $2 billion, according to JPMorgan.

“The strength of the Japanese yen could drive another wave of investment into Thailand, historically Japan’s largest investment destination in Southeast Asia,” the analysts said. “We also see scope for increasing investment by Chinese corporates or multinational corporates operating in China as cost pressures accelerate.”

The increased infrastructure and corporate spending may help banks and other companies such as Glow Energy Pcl and Thai Tap Water Supply Co., according to the analysts.

Yen’s Strength

Japan’s yen climbed to a 15-year high against the U.S. dollar, prompting the government this month to sell the currency for the first time since 2004. In China, foreign companies Honda Motor Co. and Foxconn Technology Group have been forced to raise wages following strikes and suicide attempts.

As foreign investment accelerates, domestic capital expenditure is likely to lag behind given the “slack” in overall capacity, with utilization rates at about 67 percent in July, according to JPMorgan.

Still, capacity utilization rates in the petroleum, chemical, pulp and paper, and construction materials industries are at relatively elevated levels, offering “scope for a modest recovery” in capital expenditure, the brokerage said.

“Given the relatively large scale of operations and high capital intensity in these sectors, corporates may seize the opportunity for expansion given Thai baht strength and cheap cost of funds,” the analysts said.

Thailand’s economy may grow as much as 7.5 percent in 2010, the fastest pace in 15 years, according to a July 23 forecast by the central bank. Improving prospects for the economy have helped to drive a 29 percent gain in the benchmark SET Index this year and lifted the baht to a 13-year high.

 

source – www.bloomberg.net