Thailand 'still attractive for hotel investment'

[webfact]

Thailand 'still attractive for hotel investment'
SUCHAT SRITAMA
THE NATION

BANGKOK: -- Thailand remains attractive for hotel investment thanks for a wide range of reasons, while Phuket is likely foreigners' best choice for a second home, according to Jones Lang LaSalle. Andrew Langdon, executive vice president for JLL's hotels and hospitality group, said the Thai hotel business remained positive and healthy.

He said Thailand was still one of the most attractive places for hotel investment despite setbacks caused by the coup in May. Political problems have eased since then and a lot of tourists should return to the Kingdom during the coming high season. Langdon said the average daily room rate at mid- and large-scale hotels had grown although occupancy rates had suffered.

"The Koh Samui hotel market is the best-performing hotel trading destination in Thailand this year," he said.

In the first six months of this year, hotel transactions throughout Asia were valued at US$3 billion (about Bt97 billion). At this level, it has already exceeded the total amount of transactions by value for all of 2012.

Thai hospitality property funds are still small, with average net asset value of Bt2.24 billion excluding the Thai Hotel Investment Fund. THIF is largest property fund in Thailand, representing just over half of the total asset value of all hospitality property funds in the country. With the recent establishment of real estate investment trusts (REITs), JLL expects hotel investment activity to increase.

Wichit Na-Ranong, a hotel-sector veteran based in Phuket, said the hotel business on the island would continue to grow, not just because it is a famous tourist destination, but because it has become a multinational community.

"Many foreigners are looking for properties for their second homes. They are considering some other cities like Hong Kong and Singapore, but Phuket is the answer because it is very much cheaper," Wichit said.

He added that with great connectivity, foreigners were able to travel directly from Phuket to major destinations such as Scandinavia, Hong Kong, Singapore, mainland China, South Korea, the Middle East and Malaysia. "Apart from Bangkok, Phuket is only city [in Thailand] that can offer great convenience in air travel and even land connectivity. This will help push the growth of the hotel and property businesses."

Source: http://www.nationmultimedia.com/business/Thailand-still-attractive-for-hotel-investment-30244402.html

-- The Nation 2014-09-30

[kannot]

[slipperx]

So all that is needed now is a safe way to buy that so that Thais cannot cheat the foreigner out of his investment.

Who wants to invest when there is little recourse for fraudulently cancelled leases and Various officials banging the nationalist drum on the dodgy business holding companies that do no business. No support in the courts for people cheating either and with gangs of money lenders very active in targeting wives of foreign husbands to steal their assets Phuket, nay Thailand, is an extremely dangerous place to invest.

[inzman]

In recommending Phuket, did they factor in the cost of graft and scams?

[stickyrice2000]

Why are the news nowadays full of bs?

[shirtless]

Are they trying to sell there business interests Hotels are not doing very well at the moment, Only a fool would believe this article,

[HiSoLowSoNoSo]

" while Phuket is likely foreigners' best choice for a second home, according to Jones Lang LaSalle."

Maybe it was 15-20 years ago, now its garbage dump full of gold diggers and the traffic is soon worse than Bangkok's .

[JacChang]

August data when comparing to July shows an improvement of 20-30% in earnings for hotels. Still not up to par on previous years earnings, but the trend seems to have bottomed and going up.

I'm waiting a few more months for more assurance, then my money will be going in again.

[Jonmarleesco]

Well, there are more than enough hotels up, and going up, to be able to test that theory - always assuming 'face' doesn't get in the way of the facts.

After all, (real) estate agents will always talk up the market - literally.

[besth]

The fact that there are many hotels and G.H. for sale doesn't mean they

are attractive to investors.

Not even a good try from this guy in the article

[mikebell]

Lets build a new hotel in Koh Tao - should be packed all year round: with police & Government spokespersons.

[Asiantravel]

We all know the eternal mantra of real estate agents………………… there has never been a better time to buy!