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Bangkok’s Commercial Real Estate Market Flourishes

Acquiring a property within Bangkok’s central business district can be quite expensive, yet the demand for income-generating properties remains high, according to property consulting firm CB Richard Ellis (CBRE).

A recent report by the Bangkok Post highlighted that numerous investors are buying income-generating properties in Bangkok’s urban areas, spanning from Sathorn to Phetchaburi Road.

An affiliate of The Pioneer Global Group purchased the Sofitel Silom hotel, and the same associate, holding a 49.5% stake in the Pullman Pattaya Aisawan Resort, acquired the 469-room hotel for THB2.01 billion (US$66.3 million).

Eilidh Callum, a senior economist at CB Richard Ellis, stated that strategically positioned locations in Bangkok are highly sought after. This year, a prominent real estate agency bought a three-rai site on Sathorn Road from the French government.

CB Richard Ellis Thailand asserts that, besides income-generating assets, strategically situated locations also experience significant demand.

The Boon Rawd Brewery Company LTD, responsible for the Singha Corporation, procured a nine-rai former Japanese Embassy site on New Phetchaburi Road, with plans to develop it into a mixed-use project.

Although commercial real estate sales in Asia dropped by 52% in this year’s second quarter due to factors such as Japan’s earthquake and tsunami and the deteriorating US economy, the market in Pacific Asian countries like Thailand experienced a strong rebound after a slow beginning to the year.

ThaiVest Editorial Team
The Thaivest Editorial Team is a dedicated group of writers and editors with a passion for Thailand's vibrant economy, culture, and lifestyle. With diverse backgrounds in finance, economics, and journalism, we provide valuable insights into living well in Thailand, making money online, and practical tools for navigating its dynamic market. Our mission is to keep our readers informed about the latest developments, opportunities, and challenges in Thailand's economic and cultural landscape. Stay connected with Thaivest for reliable, well-rounded coverage of all things Thai.