Over the past nine months, Phuket has weathered an economic storm from the loss of foreign tourists due to the Covid-19 outbreak.
Yet, despite a scarcity in available land, leading property consultant CBRE has seen an increased demand from domestic investors and individual buyers.
Prakaipeth Meechoosarn, who oversees investment and resort land for CBRE Phuket, said: “In the past, the Phuket real estate market attracted more foreign investors, as it is a leading resort destination.
“However, due to travel restrictions, now more local players are eyeing Phuket as a potential investment, especially if the property has an attractive price tag.”
Though the government launched a Special Tourist Visa in October 1 to attract high-end, long-stay tourists in a bid to rebuild the tourism sector, foreign investors are not rushing to purchase land in Phuket.
Records from CBRE’s Investment and Resort Land team in Phuket show that land enquiries from local buyers in the first nine months of this year had risen by 50 per cent compared to the same period last year.
Of these inquiries, 62 per cent are from local developers seeking plots for new developments or private buyers looking to build holiday homes.
Prakaipeth said: “Land that fits conventional requirements for development, such as beachfront and ocean view, is still low in supply.
“However, more plots are becoming available. As the current situation is a buyer’s market, landowners are more open to negotiations and willing to consider options.
“Phuket is a good option for investment as land is being offered at reasonable prices. The market has not been this attractive since the pre-Covid-19 days.
“However, investors and buyers may have less time for decision-making, due to a shortage in supply.”
THE NATION (THAILAND)/ASIA NEWS NETWORK