Land prices at Siam Square in Bangkok remain the country’s most expensive land while in Lam Luk Ka, on the outskirts of Bangkok, land prices are the cheapest.
The highest prices were attributed to their prime locations in business and commercial areas where communication by public transportation is convenient, while areas where there are no mega transportation projects, land price speculation was unattractive.
This was revealed today by a latest survey of land prices in Bangkok by the Agency for Real Estate Affairs (AREA).
The survey showed Siam Square area is still the reigning champion as the most expensive property in Thailand with values as much as 2 million baht/square wah (or approximately 4 square meters).
AREA stated the latest survey of land prices last year unsurprisingly showed that the most expensive properties in the country are in Siam Square with prices reaching 2 million baht/square wah (4 square meters) or 800 million baht per rai.
Estimates are that these prices will continue to rise by no less than 6.5% in 2017 to 2.13 million baht/square wah.
AREA noted that the main reason is that Siam Square sits right in the middle of the capital and is well provisioned with modern public transport systems as well as other public utilities.
Coming second and third consecutively are properties located in Silom district with current values at 1.77 million baht/square wah and Yaowarat or China Town area with values of 1.3 million baht/square wah.
However it said that when the electric rail lines from the capital to Thonburi side of the capital becomes operational, prices of property in Yaowarat will rise by no less than 5%.
Currently the extension of the Blue Line connecting Bangkok with Thonburi with underground tunnel underneath the Chao Phraya river from Bangkok Railway Station to Bang Khae Station in Thonburi area is progressing on schedule.
The survey also found that the cheapest lands are around the outskirts of the capital or those around Klong 13 in Lam Luk Ka district in Pathumthani with prices marginally in excess of 900,000 baht/rai which has next to nothing in terms of public conveniences or utilities.
Surprisingly this represents a 926 fold difference in values despite the fact that Siam Square and Lam Luka Ka Klong 13 is just 50 kilometres apart.
This is due entirely to a lack of property development for lands directly outside of Bangkok.
A new trend in property values however is their correlation to electric rail line projects. Estimates are that lands that are in close proximity to planned electric rail line projects will see their values appreciate by no less than 8.9% overall.