Bangkok: Ratchadaphisek land listed for 11 billion baht sale
A prominent businessman has put a substantial parcel of land up for sale in the Ratchadaphisek area, valued at 1.5 million baht per square wah, amounting to over 11 billion baht. This prime location has attracted interest from Chinese investors keen on developing a hotel.
Over 19 rai of land, located along Ratchadaphisek Road and near the Eastern Orange Line of the MRT, has been listed for urgent sale after being left vacant for several years. This land, originally totalling 28 rai, belongs to Ratchada Business District Co., a business group associated with the well-known entrepreneur Sathit Witthayakorn. Previously, eight rai were sold to the insurance giant AIA Thailand for 3.5 billion baht, setting a record price of 1.1 million baht per square wah in 2021.
The remaining 19 rai of land has now been placed on the market, with the asking price set at 1.5 million baht per square wah. The total area listed for sale amounts to over 11 billion baht, although negotiations on the price are possible.
Interest has been significant since the sale announcement, with notable interest from Chinese investors. The strategic location, adjacent to the Thailand Cultural Centre MRT station and the interchange between the Orange and Blue Lines, makes it an attractive site for hotel development.
Sathit previously mentioned that the entire parcel of 28 rai was intended as a personal land bank. Plans had been considered for developing the remaining 20 rai into a mixed-use project, including hotels and condominiums. However, due to the current circumstances, these plans have been postponed, though the land remains available for purchase if a suitable buyer is found.
Patrchai Thaveewong, Director of Research and Communication at Colliers International Thailand, noted that there has been no land transaction along Ratchadaphisek Road for over three years since AIA’s purchase at 1.1 million baht per square wah. The newly listed 19 rai is a large and high-value plot, standing out in comparison to the adjacent AIA property.
“The land along Ratchadaphisek has not seen any sales activity for more than three years, which makes this sale quite significant.”
The market dynamics in Ratchadaphisek are shifting, with this sale marking a potential turning point in land transactions in the area. The interest from international investors, especially from China, indicates a broader trend of foreign investment in Thailand’s burgeoning property market.
As the land sale progresses, the business community and potential developers await further developments, considering the implications for future projects in this vibrant and strategically located part of Bangkok. The outcome of this sale could set a new benchmark for land prices and development opportunities in the area, influencing the direction of urban growth and investment in Thailand’s capital city, reported KhaoSod.
What Other Media Are Saying
- Dialogue Earth highlights Thailand’s ambitious Eastern Economic Corridor aiming to modernise its economy through infrastructure, but local farmers face eviction and lack consultation, raising concerns over equitable development. (read more)
- Bangkok Post highlights the optimism among property developers regarding new MRT lines, suggesting that these projects could stimulate the market despite challenges such as high household debt and strict mortgage rules. (read more)
Frequently Asked Questions
Here are some common questions asked about this news.
Why are Chinese investors particularly interested in acquiring land in the Ratchadaphisek area?
The strategic location near MRT lines and the potential for hotel development make it appealing to Chinese investors seeking growth opportunities.
How might the sale of this land affect future property prices in the Ratchadaphisek area?
It could set a new benchmark, potentially increasing property values and influencing development trends in the area.
What if this significant land sale initiates a trend of foreign investment in Bangkok’s property market?
It may lead to increased competition, boosting the local economy and altering the urban landscape of Bangkok.
What factors have contributed to the lack of land transactions in Ratchadaphisek for over three years?
Market conditions, previous high sale prices, and strategic holding of land as investments could be factors.
How could the development of a hotel on this land impact the surrounding Ratchadaphisek area?
It could enhance local infrastructure, increase tourism, and stimulate further commercial activities in the region.
