Tulip Group Thailand have recently announced that in the
coming weeks Park Plaza Waterfront will officially be launched. After
purchasing the site from former owners Elran Group, Tulip have been busy
contacting previous buyers in the development, to offer them either a full
refund or the option to stay with the project.
In addition to this, active local Pattaya Real Estate
agents have also been promoting the project to their databases and making
sales, even before official details have been issued by Tulip Group.
“Interest in the project has been extremely high, which
is very encouraging for us. We believe that this will be one of the most
iconic projects that Pattaya has ever seen, and we are very excited about
revealing what we have planned for the site”, said Kobi Elbaz, the CEO of
Tulip Group.
Park Plaza Hotels who will manage the project on
completion have also been busy with their architects to ensure that the 100
Key hotel will also be a stunning addition to their portfolio. Tulip group
hope to release full details of the project in the next 2-3 weeks, and break
ground at the same time.
“We are quickly finishing the stunning 4 storey sales
offices and completely overhauling the interiors of the show suites so they
reflect how the rooms will look on completion of the project,” continued
Kobi. “In addition to this, the owners are delighted to see that Pattaya
City Hall have started to remove all the dry docked speed boats in
preparation of the world class marina that will be built.
“The construction of the Marina is such a bonus not only
for us but also our buyers who’s view now will be the entire city, the beach
area, the surrounding islands and now a world class marina - it really
doesn’t get much better than that,” said Kobi.
Building cranes dot the skyline as construction
of new condominium projects continues apace on Pratumnak Hill, south
Pattaya.
The first half of 2011 marked another eventful period for
the condominium market as the city develops into a truly international city,
according to the latest report from Colliers International Thailand.
Overall the number of launches in H1 2011 exceeded the
number for the whole of 2010 with nearly 5,200 units coming onto the market.
The key reason for this was the launch of two large scale projects, both
offering over 1,400 units. One is The Grand Jomtien by AD House Ltd. on
Jomtien beach and the other is Condotown North Pattaya-Sukhumvit from LPN
Development Plc, one of the largest developers in Thailand, located over a
kilometre from Wongamat beach.
Tony Picon, Associate Director of Research at Colliers
believes this could be a game changer for the residential market in Pattaya.
“LPN has been a major player in the Bangkok condominium market for some time
with its small unit sizes targeting first time buyers and now they are
entering Pattaya for the first time”, he said.
With units of 22.5 metres, the main focus is on Thais
living in Bangkok looking for an affordable second home. LPN is set to
launch two more projects in the city and Mr Picon feels that this represents
a huge vote of confidence in the future.
“It is likely that other listed developers will follow
Raimon Land, Major Development and now LPN Development who are already part
of the Pattaya developer mix”, he added.
Patima Jeerapaet, Managing Director of Colliers, also
pointed to other real estate developments that are helping to cement
Pattaya’s increasing significance. “Central Festival remains a very strong
drawcard even for Bangkokians and more refurbishment of older retail centres
should be something for the future”, he said.
Another important project is the King Power Duty Free
Complex, set to open in September that will add to the attractiveness of the
city as a tourism destination.
According to Patima, strong tourism source markets such
as China, Russia, India and Vietnam will be the target.”This centre can only
help grow these markets further leading to more tourists, more jobs and
therefore more residential property interest in the future”, he claimed.
Mark Bowling, Senior Sales Manager for the Pattaya
Office, is keen to stress the growing trend of a hotel component in
condominium developments in the city. In fact in the first half of 2011
three agreements were reached between developers and hotel brands. The first
was Amari, a well known hotel chain, who will manage the previously named
The Legend on Cosy Beach by The Nova Group with the lower floors being
operated as a purely Serviced Apartment and the upper floors as residences.
Following from this Centara, Thailand’s largest hotel chain, will manage the
Centara Avenue Residence and Suites in downtown Pattaya on behalf of the
Tulip Group.
“Sales have been brisk for both projects and one key
reason is the hotel aspect”, said Mark.
Probably the most significant tie up is also a project by
the Tulip Group in partnership with the Park Plaza group, a global hotel
chain; who will develop the Park Plaza Waterfront located near Bali Hai
pier, offering views overlooking the bay.
Mark Bowling points to several reasons why hotels and
condominium development arrangements can be successful. “Buyers like the
best of both worlds, which means residential facilities are separate from
that of the hotel/serviced apartment component but they can also take
advantage of what the hotel offers such as room service and housekeeping for
added convenience.”
Mark believes that maintaining the property’s value is
also a key advantage: “Hotel management will ensure proper upkeep of the
property and therefore capital values will remain buoyant but with the added
benefit of better rental yields, a very seductive proposition for any savvy
buyer”, he maintained.
The report by Colliers states that nearly 5,200
units were launched in Pattaya in H1 2011, compared to around 3,420 for the
whole of 2010. More than 2,900 units are scheduled to be completed and
transferred during the second half of 2011 which represents an increase of
just over 6% in total supply and more than 4,100 units are scheduled to be
completed and transferred in 2012.
During the years 2011 – 2013 Pratumnak is set to be the
main player in the Pattaya city condominium market, due to many projects
being launched in the past three years. (Source - Colliers International
Thailand Research)
