Bangkok Condo Finder Property Round Up – October 2015

Bangkok Condo Finder on November 4th, 2015 with

Welcome to the Home Connect News. I’m Derran. 

According to market studies undertaken by the Knight Frank Thailand Company, it seems Bangkok’s condominium sector remains buoyant despite the general economic downturn and rising household debts.

Numbers are especially strong in the Sukhumvit-Prakanong and Petchaburi-Ratchada areas of the capital. Price levels for condominiums in these two specific locations were still adjusting upwards while supply increased in the first half of this year.

In the Sukhumvit-Prakanong area, average condo prices were up to 226,000 baht per square metre, which represents an increase of almost 50 percent from 2014 figures.

For condominiums in the Petchaburi-Ratchada area, average condo prices were up to 111,000 baht per square metre, reflecting an increase of up to 28 percent from 2014 prices. More importantly for developers and real estate agents, sales of newly-launched condos remained solid, with no sign of decline.

With such positive numbers it may be no surprise that Sansiri, one of the major property development companies in the country, has announced its joint venture operation with BTS Group Holdings, and called BTS-Sansiri Holdings, have plans to launch 10 residential projects valued at 21.5 billion baht in the final quarter of this year.

Sansiri will develop six of the 10 projects, with five being detached-housing estates and the sixth a condominium. The other four projects, all condominiums, will be developed by BTS-Sansiri.

The number of companies lining up to launch Initial Public Offerings, or IPOs, continues to grow.

Among the companies having launched or preparing to launch IPOs are retail property operator JAS Asset PCL, a subsidiary of the mobile-phone retailer JayMart PCL, which expects to raise 333 million baht from the sale of 120.39 million shares.

As well, Bangchak Petroleum (BCP), Thailand’s major oil refinery company, has announced that its wholly-owned renewable-power division, BCPG Co Ltd, will be submitting the required paperwork to the Office of the Securities and Exchange Commission (SEC) in March next year for the issue of its IPO. If the IPO is approved, BCPG aims to be trading on the SET by September 2016. 

Raja Ferry Port (RP), one of the leading ferry operators in Thailand, will be joining the IPO queue in November. Raja Ferry management has said it expects to raise between 380 and 684 million baht from its IPO.

One slightly unusual event did make the stock market sit up and take notice last month, when the three largest shareholders in the ACAP Advisory company decided to sell either all or most of the shares they held in the firm on the same day. What was even more surprising was that allegedly none of the three colluded in any way, claiming they had no idea the others would be offloading their holdings at the same time. ACAP Advisory is a SET-listed financial advisory and loan management firm and the three largest shareholders controlled around 25 percent of the total volume of shares in the company. In terms of return, the three collectively realized 406 million baht on the one day.

 

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