Real-Estate market in Asia to Grow

The flow of capital into the AsiaPacific’s real-estate market from outside the region is accelerating, a report has
said.
This is the result of the credit crisis in the United States and Europe, the report by KPMG, FTSE Group and Asian
Public Real Estate Association (Aprea) said.
The acceleration is coming off the back of prolonged, steady growth, which has been powered by a combination
of opportunistic and increasingly longer- term investments, it said.
“With the credit crisis in the US and Europe, investors are ... looking to Asia for growth,” FTSE quantitative
research head (Asia-Pacific) Jamie Perrett said.
While returns on real-estate investments are expected to decline in most countries, returns in the Asia-Pacific are
expected to remain higher than the global average of slightly more than 5 per cent for the coming year, it said.
Market sentiment in Asia has been hit by the credit crunch but the regional outlook should remain positive, Aprea
chief executive Peter Mitchell said.
“ The sub-prime fallout elsewhere may well act as a catalyst for the inevitable further development of the
Asia-Pacific as a centre of and investment management,” he said.
Real-estate funds will remain the main source of capital for investments in Asia this year.

Condo Focus (May 08)

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Japan invest Bt7.6 billion in Thailand.

SIAM ZOKAI GETS AGGRESSIVE ON EXPANSION PLAN

Thailand continues to be a key market as the firm designs an overseas foray

Siam Zokai, the property arm of Saha Group, has set aside an investment budget of about Bt5 billion for the development of property projects worth Bt7.6 billion in Bangkok, Phuket and Chiang Mai till 2010, the company’s Japanese president Yasuo Miyazaki said.

Siam Zokai is a joint venture between Saha Group which holds a 51- per- cent stake while Yasuo Miyazaki and his wife own the other 49 per cent. The company has a registered capital of Bt100 million.

The company is developing two property projects worth about Bt3.4 billion. Peaks Town, the first project in Chiang Mai, is worth nearly Bt1 billion. It will have six buildings including Twin Peaks, Peaks Garden, Peaks Changklan, Peaks Avenue, Peaks Mall and Peaks Market. This project is being developed under the community- living concept which integrates residential units and a shopping plaza in the same location.

Construction at Twin Peaks is complete and the building is sold out. The company expects to transfer the units to its customer this year.

The other buildings have also been sold up to 70 per cent and the rest is expected to be lapped up by customers within the year.

Grand Peaks, the company’s second project is worth Bt2.4 billion and is located in the Sriracha district, Chonburi. It is a luxury-condominium project with a 31- storey building and 570 units. Prices start at Bt65,000 per square metre – an increase from last year’s price of Bt60,000 per square metre consequent to construction costs rising. About 200 units have been sold. The project is under construction and is expected to be completed by the middle of next year.

Miyazaki said the company plans to develop three more projects with a cumulative value of Bt4.6 billion in 2010, after the existing projects are completed and sold off.

These three projects include; Peaks Andaman in Phuket worth Bt1.4 billion; North Park Office, an office building worth Bt1.2 billion located at North Park on Vibhawadee Rangsit Road; and Sathupadit Peaks Tower, another luxury-condominium project with a 31- storey building worth Bt2 billion.

The company is studying the market with a view to develop an integrated complex with luxury condominiums, a shopping centre and an office building in the same area with a combined utilisation space of up to 100,000 square metres. The project is likely to be in Bangkok’s Central Business District.

“We cannot give more information about the location of the new project but it will be developed on land already owned by Saha Group. This project may have another Japanese partner. This part is under negotiation,” he said.

The company will also start expansion in the overseas market in the next two to three years with a special focus on Malaysia and Vietnam. Malaysia is helped by a flexible law onforeign investments in the property business.

“Malaysia holds higher for us over Vietnam, where competition and land prices have surged,” he said.

Thailand remains the main market for Siam Zokai’s expansion plans. This is because it believes that demand for residential projects in the country remains strong.

Thailand’s biggest landlords.

Chang beer family builds huge property portfolio

From Bangkok to Siem Riep, from London to New York, you may book into one of the posh hotel properties of Thailand’s liquor tycoon Charoen Sirivadhanabhakdi.

Currently, his family’s multibillionUS - dollar property portfolio covers 24 hotels, including nine in major foreign cities, as well as 13 shopping centres, three office buildings and three golf courses.

The entire portfolio is under the management of Wallapa Traisorat, Charoen’s eldest daughter, who took over the family’s property and hotel and related businesses in 2001.

Known as one of the country’s biggest landlords, Charoen and his wife, Wanna, own thousands of plots of land in Thailand, thanks to their highly lucrative liquor business, based on Chang beer.

The family started buying property decades ago, and it took Wallapa three years from 2001 to categorise most of her parents’ vast array for a proper database, so that she could manage the portfolio professionally.

“My parents like to buy land and other properties, so they’ve often lost count of how many plots are already purchased,” said Cambridge-educated Wallapa, who is in her 30s with two brothers amd sisters. “Sometimes, we found that brokers had offered to sell our own land plots to us.”

Besides liquor, beer and non-alcoholic beverages, all of which generate the most revenue, the family has turned to hotels and other properties as another cash cow, planning to invest Bt100 billion over the next decade in various projects worth an estimated Bt200 billion.

The family is also turning vast plots of its agricultural land in Thailand into plantations for raw materials to produce ethanol for the alternative-fuel sector, which is booming due to skyrocketing oil prices.

For the Sirivadhanabhakdi family, good immovable assets appear to have more long-term allure than do stocks, bonds or other financial assets.

Country’s tallest condo (Pattaya)

After a long wait for the approval of its environmental impact assessment (EIA), construction is due to start on March 30 of Thailand’s tallest residential building, the Ocean 1 Tower on Jomtien Beach, according to its developer.

Bruno Pingel, chief executive of Siam Best Enterprise Co Ltd, said the company had not expected such a lengthy EIA process for its 12-billion-baht project, which consists of one 91-storey building of 327 metres high.

‘‘The fact that it was such a thorough, exhaustive and professional exercise is very reassuring as regards the future standards and quality control of all highrise developments,’’ he said.

During the process, it had to conduct a public hearing chaired by the Chon Buri governor and attended by Pattaya City representatives, environmental authorities, community leaders, tour operators and residents.

Its contractor is now relocating its foundation construction equipment from Malaysia to the site to get ready for the expected construction date. As the delay in construction will affect costs, Siam Best has already raised prices seven times.

It latest prices are 125,000 baht per square metre for levels 10-14, 130,000 baht per sq m for levels 15-50, and 135,000 baht per sq m for levels 52-85. All studios are 130,000 baht per sq m. All prices will increase by another 10,000 baht per sq m on the construction date.

However, Mr Pingel said he believed that the Ocean 1 prices were very competitive and realistic when compared to other developments.

Download "Ocean 1 Brochure"

Bangkok sales office in the President Tower Arcade
(next to the Intercontinental Hotel on Ploenchit Rd)
2nd floor, unit L40, Lobby Floor, 973 Ploenchit Rd,
Bangkok 10330
Tel: 02-656-0234
email: alisara@ocean1tower.com

SIAM BEST ENTERPRISES Co., Ltd.
404/66 Moo 12
Jomtien Beach,
Pattaya, Chonburi 20260
Tel : 038 756 640-7
email: info@ocean1tower.com

High costs worry developers (Bangkok)

High costs worry developers

Low-priced projects might be delayed

Property developers should be careful of higher construction costs and new property-related laws as they diversify their portfolios, industry executives said.

Issara Boonyoung, managing director of the residential developer Kanda Property Co, said higher construction costs would likely affect low-priced condominium projects. Those with prices of 30,000 baht per square metre might not be built as costs have climbed to as high as 20,000 baht.

‘‘Despite the good sales, some developers of low-priced units might not be able start construction due to higher costs,’’ he said.

Meanwhile, high-end condominium developers would not face this situation as they have higher margins.

Another issue developers might face is escrow accounts, which might be effective within a year after being talked about for two decades. All developers would need more money to invest for developing projects, but homebuyers would have more confidence in buying a unit as their down-payments would not be used for developers’ cash flow. Environmental issues are also a concern.

‘‘Actually, an environmental impact assessment (EIA) is not a new issue but new regulations on green areas have delayed many projects. There should be clear regulations announced to developers,’’ he said.

Prasert Taedullayasatit, chief business officer of the listed developer Preuksa Real Estate Plc, said the EIA board, at its latest meeting in January, discussed whether to cancel the new regulations on green area. This would be good news for condominium developers whose projects are waiting for EIA approval.

‘‘Last year every condominium developer enjoyed selling units, but they might face difficulties caused by increasing prices of steel. They should try to reduce and control costs,’’ he said.

The Real Estate Information Center (REIC) yesterday reported a survey on residential supply in Greater Bangkok. It found that more than 231,164 outstanding units from 1,157 projects were available for sale at the end of the third quarter of 2007.

Of the total projects, 951 were lowrise and 403 were located in Bangkok, followed by 152 in Nonthaburi, 149 in Pathum Thani, 128 in Samut Prakan, 64 in Samut Sakhon and 55 in Nakhon Pathom.

The total number of low-rise units was 153,648. There were 53,655 units in Bangkok, followed by 35,967 in Pathum Thani, 26,492 in Samut Prakan, 20,906 in Nonthaburi, 11,251 in Samut Sakhon and 5,377 in Nakhon Pathom.

In the third quarter of 2007, 9,402 units were sold and 62,911 remained up for sale, 25% of which were pre-built units. At the same time, 206 condominium projects were sold in the quarter.

Meanwhile, 77,516 condominium units were available for sale at the end of the third quarter. About 44% were priced at 1-2.99 million baht a unit.

Of this number, the largest were in Bangkok with 62,880 units, followed by Samut Prakan with 12,754 units, Nonthaburi with 1,638 units and Pathum Thani with 244 units.

KANANA KATHARANGSIPORN (Bangkok Post)

Luxury condo market (Bangkok)

Major Development Plc Plc (MJD) remains confident in the growth of the luxury condominium market in next three years despite global sluggishness triggered by the declining US economy, says chief executive officer Suriyon Poolvoralaks.

A company survey showed strong demand for grade A condominiums at prices over five million baht in the central business district, higher than the demand for mid-range units, Mr Suriyon said.

The unstable global economy has created worry about diminishing demand, especially for upper-end residential units, but MJD believed conditions would not affect its business operation as the company had targeted customers with high purchasing power that buy on the spur of the moment.

‘‘The premium condo market will continue to grow for at least one to three years. If consumer demand changes, the company is flexible enough to adjust the projects to serviced apartments or hotels,’’ said Mr Suriyon.

Major Development has eight ongoing projects worth 13.8 billion baht and will continue to develop projects serving the upper segment, with foreign residents of Thailand among its target customers.

Last year, the company realised revenue from the Water Mark Tower A worth 3.9 billion baht, and the 1.25-billionbaht Manhattan Chidlom, and partly from the 1.8-billion-baht Fullerton Sukhumvit. It expects to realise revenue from all ongoing projects in this year.

MJD shares closed yesterday on the Stock Exchange of Thailand at 3.70 baht, down 10 satang, in trade worth 16.7 million baht.

Chiang Mai property boom

After slowing down for a year, the Chiang Mai property market is expected to revive this year under the new government led by the People Power Party, according to Jarin Pongyen, senior vice-president of the listed developper Quality Houses Plc (QH).

''People in Chiang Mai are very sensitive to the political situation. They spent less and saved more since the political situation was uncertain (last year) despite having high purchasing power,'' he said yesterday. ''They are ready to spend again if they are more confident in the political situation which is clearer now.''

Mr Jarin said total savings in Chiang Mai rose from 94 billion baht in 2005 to 103 billion last year but a decline in spending was reflected in lower value-added tax collections and car and motorcycle registrations.

The number of transactions registered at the Chiang Mai Land Office declined from 15,000 in 2005 to 10,000 in 2006 and 9,800 last year. Revenue generated from property transactions dropped from 1.3 billion baht in 2005 to 1.2 billion in 2006 and 900 million baht last year.

The sharpest decline was in housing units priced below two million baht, representing 80% of the total market.

''People in Chiang Mai delayed their decisions. Last year small and medium-scale developers faced lower sales below 50% [of units available] compared with the normal period when they generated sales of up to 70-80%,'' said Mr Jarin, a Chiang Mai-born executive who oversees QH's business in the North.

However, housing priced above two million baht a unit, with about 20 projects on sale, remained strong. Total sales in this segment grew from 1.8 billion baht in 2006 to 1.9 billion last year.

In Chiang Mai, he said, most residential development is in the eastern part of the province in the San Sai, San Kamphaeng and Doi Saket areas.

QH plans to develop high-priced housing units under its Laddarom brand next year on a 60-rai site on the Middle Ring Road, after its Laddarom Elegance is expected to close sales by the end of the year. It also has another two plots of land _ 80 rai on the Outer Ring Road and 90 rai on the Middle Ring Road _ for future development.

QH last year recorded sales of 600 million baht, double its 2006 total, from the existing three projects including 300 million baht from Vararom Kaewnawarat and Vararom Charoen Muang and 300 million from Laddarom Elegance.

Mr Jarin said QH expected total sales of 700 million baht from housing in Chiang Mai this year. Currently, QH and its parent, Land & Houses Plc, have a combined 60% share of Chiang Mai housing priced above two million baht.

QH shares closed yesterday on the SET at 2.34 baht, up 20 satang.

KANANA KATHARANGSIPORN

10 projects worth B4bn (Bangkok)

New condominium launches this year are likely to drop by 25% from 2007 due to higher competition in the market and rising construction costs, says Mayta Chanchamcharat, chief executive officer of the developer Plus Property Co. New condo units would total less than 30,000, down about 25% from last year. But demand remains strong as consumers are concerned more with travel expenses because of high fuel prices. ''We have seen signs of a slowdown since last year. Many small and medium-sized developers faded from the market, while the remainder were selling already launched units rather than opening new projects as financial institutions had stricter rules. Most new launches were from large developers,'' said Mr Mayta.

The take-up rate last year was 70-80%, which was solid but still down when compared to the levels in 2005-06. Some projects sold out within a few months, while some needed four to five months to sell 80-90% of the units.

According to Plus Property's research, 119 new condominium projects were launched last year in Bangkok with 39,341 units, up 42% from 2006. About 17,000 units from 61 projects were launched in the first half, while around 22,000 units from 58 projects were launched in the second half.

The figures indicated that newly launched projects in the second half had more units in each site, but smaller unit sizes as developers tried to offer lower-priced units to match lower purchasing power, said Mr Mayta. Some projects sold for 600,000 baht a unit, or as low as 20,000 baht per square metre. About 70% of launches this year would be condominiums, as sales depend on confidence in the economy, interest rates and living expenses.

Last year the top zone for new launches was the Thon Buri area, where the new BTS extension is under construction. It was followed by Ratchada-Lat Phrao, Phahon Yothin, Sukhumvit and the central business district, respectively. All are close to mass-transit lines.

Plus Property, a subsidiary of the listed developer Sansiri Plc, plans to launch at least 10 projects worth a combined four billion baht this year. They would comprise five townhouse projects and five condominium projects. Last year the company acquired four land plots for new projects, some of which will be located on Phahon Yothin Road near the BTS, Mr Mayta said. It also planned to spend two billion baht to buy more plots.
The new launches this year would include new townhouse brand Home+ to tap the lower-end segment as unit prices would start at 2.5 million baht. It will launch a new townhouse brand for a higher segment than Town+, as well as a new condo brand that would appeal to richer customers than My Condo.

Currently, the company has three housing brands: Town+ for townhouses priced between 2.8 million and three million baht a unit; My Condo and Condo One with prices starting at 50,000 baht a square metre; and sub-brand Condo One X tapping the lower-end segment. Due to higher construction costs, which are expected to increase about 6-8%, condominium developers should shift to pre-fabrication and precast construction technology to reduce construction time by 10% and save overall costs.

Mr Mayta said prefabrication would be used in building structures, while precast would be used for walls. These methods, which cost 10-15% more than conventional methods, would help speed up completion and reduce the reliance on labour, as construction workers are in short supply and wages are rising.
Bangkok Post

Thailand drawing investors

Investment is continuing to pour into Thailand from overseas developers and property-fund managers with the hospitality industry in traditional holiday locations attracting the lion´s share of foreign projects, according to a recent study carried out by The Nation.

The study also found that foreign companies, both on their own and via joint venture with domestic construction firms, have shrugged off the political and economic uncertainty of recent years and earmarked some Bt20 billion for further investment this year.

Among the biggest players to commit to Thailand´s property industry is Singapore-based Pacific Star International, who has formed two joint-venture firms with Asian Property Development to build two Bangkok condominium developments, one on Sathorn Soi 12 and the other on Ratchadaphisek Road, at a cost of Bt6 billion. The Nation also revealed that Hong Kong´s Concord Property Group has plans for an integrated property development worth up to Bt40 billion in the Pinklao area.

Singapore´s Banyan Tree Group has also ploughed massive sums into Thailand´s burgeoning property industry. In a further demonstration of faith the Kingdom the group set up a centre in Phuket where it trains service staff for use in it´s resorts and hotels elsewhere in the world. Another big investor is Hong Kong Real Estate International, which has invested some Bt18 billion in residential developments with various partners to date.

It is not just developers from other Asian countries investing in Thailand – a number of firms from the US and Europe are lining up to invest, predominantly, in the Thai hospitality business in tourist destinations such as Phuket, Koh Samui, Pattaya and Chiang Mai.

by Robert Carry / Property Report

Rental Yields (Bangkok)

Rental yields for luxurious condominiums in Bangkok range from 7.2% to 8.9%. The exception is 300-square metre (sq. m) units yielding only around 6.84%.

In Hua Hin, mountain-side villas are cheapest with prices only reaching up to around US$649 per sq. m. While top luxurious properties can cost almost twice that, 150-sq. m beachfront villas are most expensive at US$4,333 per sq. m.

The River (Bangkok)

Magnificent vistas from The River

With the opening of The River’s Bt100 – million sales office and three floors of show rooms at its 13-rai Chao Phraya riverfront site, developer Raimon Land is now witnessing a big surge in bookings.

Raimon’s chief executive officer Nigel Cornick says the landmark development is setting a new benchmark for prime riverfront properties in design and pricing. “Buyers who had put off their purchase, signed up once they saw the units,” said a sales executive.

“We knew it would be best to show what buyers are getting,” said Cornick. “The views and show apartments speak for themselves.”

Visitors came away with awe once they visited the show homes, realizing The River’s units offer some of the very best residences in town.

The starting price of Bt 95,000 a square metre becomes secondary to the fact that the location commands unparalleled views.

Cornick says the project has received accolades from professional builders, designers as well as global investors, many of whom are keen to acquire the freehold apartment as part of their portfolio in the Kingdom.

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Surging Demand (Vietnam)

Vietnam faces surging demand for property but also legal shortcomings

The fast-growing economy of Vietnam has opened tremendous opportunities for real estate investment but there are some challenging factors that overseas investors need to consider before jumping on the bandwagon.


Vietnam's high gross domestic product (GDP) growth rate has been fuelled mainly by its two largest cities -- Ho Chi Minh City and Hanoi -- where GDP growth rates last year were 12.2 percent and 11.5 percent respectively, according to Nguyen Quang, habitat programme manager for the UN-Habitat office in Vietnam.

He said opportunities had arisen due to Vietnam's membership in the Asia Pacific Economic Co-operation (Apec) group, the booming stock market and the entry into the World Trade Organisation. More retailers, distributors and investors have entered the market while more local and foreign companies have set up businesses. As a result, demand for office space has surged.

At the same time, housing demand has risen in line with increased job opportunities, higher incomes and consumer-oriented demand from young workers who make up 60 percent of Vietnam's population.

Mr Quang also pointed to the phenomenon of "repatriates" -- workers who have discovered that they no longer need to be in the big cities to make a good living.

"More repatriates have come back to live in their hometowns as the government has opened more opportunities for them to come back, do business and own a residential unit," he said during a seminar entitled "Asia's Real Estate Cycles: the Vietnam Situation".

As a result, demand is growing while supply in all sectors is very limited. Office and retail vacancies are was low and the upward trend will continue due to growing demand and delays in new supply. Demand for good-quality residential projects is also growing.

Sopon Pornchokchai, president of the Thai Appraisal Foundation, told seminar participants that the Ho Chi Minh City real estate market had a lot of potential to grow as the country's GDP was still relatively low -- about half Thailand's figure -- despite a population of 85 million.

"In Vietnam, the land area is about two-thirds of Thailand's. Land prices in Ho Chi Minh City are very high. Of a unit price in Ho Chi Minh City, the land price is four times the housing price while in Bangkok, the land price is only two times the housing price," said Mr Sopon.

Mr Quang said that amid the property boom, some challenges awaited including legal matters, land title problems, speculation, planning and investment procedures.

He said the legal framework had some limitations such as the legacy of the Communist central-planning system, spontaneous and ad-hoc state intervention, dual ownership of land and housing units, and overlapping responsibilities for land use title supervision and planning.

"Access to land-use rights is complicated, such as long-term use and leases on land," he said.

In Vietnam, people cannot own a land plot but the government can grant them land-use rights. Five types of rights are available: right to transfer, mortgage, inherit, rent and transform land.

Mr Quang said the land-title situation was especially chaotic in urban areas because of unclear administrative responsibilities. People also had limitations in terms of access to formal land and housing.

As well, land information and records are not adequate while land registration and formalisation procedures are complicated. The government's planning system is also rigid and the cost of land transfers is quite high.

Another challenge involves differences in pricing that distort the property market. Land value is determined by administrative measures rather than based on the market while land allocation through bidding is limited.

"We lack a market-based and independent valuation organisation," he said. "The booming real estate market has built a lot of real estate brokers but few of them are professional."

Mr Quang said the planning system was inefficient and ineffective as there was a lack of priority-setting. Little co-ordination exists among mechanisms related to socioeconomic planning, spatial planning, land use and sector planning.

"The government should allow public consultation and participation in plan preparation and implementation," he said.

Constraints exist as well on investment procedures and land allocation. They are unclear and complicated while some regulations overlap.

Project and programme assessment and monitoring also need more appropriate mechanisms.

Other challenges include weakness of business capacity and professionalism, limited capital investment, a lack of market research and strategies, constraints on mortgages and access to financial markets, limited savings mobilisation for the formal real estate market, widespread speculation, inefficient land use and corruption and mismanagement.

Copyright (c) 2007, Bangkok Post, Thailand
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Land prices surge (Bangkok)

Silom remains the priciest at B650,000

Bang Kho Laem, Sathon and Yannawa districts in Bangkok posted the highest increases in the Treasury Department's new land valuations effective from January until 2011.

Property values in Bangkok rose 5.76% overall under the new assessment from the last survey. Silom Road, in the heart of the Bangkok business district, maintains its position as the most expensive property in the country at up to 650,000 baht per square wah.

The least expensive property in Bangkok was in Nong Chok district, at 260 baht per square wah.

Besides Silom Road, the next most expensive properties were located on Yaowarat Road in Chinatown, at 550,000 baht per square wah, followed by Sampheng at 500,000 baht, Siam Square at 350,000 baht, Asok at 260,000 baht, and Ekamai at 170,000 baht.

Klaew Tongsom, the director of the department's Property Valuation Bureau, said the higher valuations for Bang Kho Laem, Sathon and Yannawa reflected municipal plans to position the three districts as the financial centre for Bangkok.

Land values in Bang Kho Laem under the new 2008-11 framework rose 56.86% from the last valuation, while Sathon values increased 52.38% and Yannawa 50.94%.

The official valuations are used to assess property taxes and also serve as a benchmark for property transactions by the private sector.

Mr Klaew said that valuations for another five Bangkok districts - Don Mueang, Bung Kum, Bang Kapi, Huai Khwang and Lat Phrao - would be adjusted further in 2008 for use in 2009 to reflect changes of more than 20% in prices.

Bang Sue district also recorded a 33% increase in land values, mostly due to speculation of the area's increasing importance as a transport hub for the new Red and Purple mass-transit lines.

Puntip Surathin, the director-general of the Treasury Department, said the new valuations included assessments for more than 30 million plots nationwide.

Of the total, 5.12 million plots were assessed on an individual basis, including 1.8 million in Bangkok and the rest in 23 provinces. The other 24.9 million plots were assessed on a block basis.

Upcountry land values rose on average by 26.97% in the new assessment.

The most expensive property values were recorded in Hat Yai in Songkhla province, at 400,000 baht per square wah. Southern property values increased by 85.79% on average from the last assessment, the highest increase of all regions.

The cheapest property values were recorded for Ban Rai, Uthai Thani and Doi Lo in Chiang Mai.

In the eastern and central provinces, prices rose by an average of 11.71%, with Muang district in Samut Prakan the highest at 140,000 baht per square wah. Values in the North rose 15.43% overall, with Muang district in Chiang Mai quoted at 250,000 baht per square wah.

For northeastern provinces, values rose by an average of 22.97%, with Muang district in Khon Kaen quoted at an average of 200,000 baht per square wah.

Surat Thani in the South had property values adjusted to 11,000 baht per square wah from 1,500 baht earlier. Officials said the sharp increase reflected higher land demand for agriculture.

Udon Thani also recorded a sharp increase of 55% in the new valuation, reflecting the province's strategic location along the North-South Corridor running from southern China to the Laem Chabang Port as well as the East-West Corridor ending in Danang, Vietnam.

WICHIT CHANTANUSORNSIRI
Copyright (c) 2007, Bangkok Post, Thailand
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