The recent earthquake has sent tremors through Bangkok’s 450 billion baht condominium market, triggering concerns about high-rise building safety and prompting potential buyers to delay purchases.
Industry predict a slowdown in sales over the next one to two months, particularly for high-rise developments, as consumer confidence wavers.
The earthquake, originating from Myanmar on March 28th and registering a magnitude of 8.2, caused significant tremors in Bangkok, a city dominated by skyscrapers.
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While most buildings withstood the shaking, the incident has raised anxieties about the structural integrity of high-rise residences.
Phattarachai Taweewong, director of Research and Communication at Colliers International Thailand, described the earthquake as a “significant negative factor” impacting the market, which currently holds a substantial unsold supply.
He anticipates that condominium sales in the first half of the year will fall short of projections as buyers seek reassurances about building safety.
“Consumers are now prioritising structural integrity and earthquake resilience,” Phattarachai explained. “They require confidence in construction quality and effective disaster mitigation measures.”
The situation has prompted calls for swift action from both the government and developers to restore market confidence.
Experts suggest implementing stricter building codes, offering financial support for structural enhancements, and providing clear information to buyers about earthquake-resistant construction.
Prasert Taedullayasathit, president of the Thai Condominium Association, noted that while newer buildings, constructed after 2007, are designed to withstand significant seismic activity, the event has highlighted the need for thorough building inspections and ongoing maintenance.
Surachet Kongcheep, Head of Research and Consultancy at Cushman & Wakefield Thailand, emphasised that earthquake considerations will now be a key factor in condominium purchasing decisions.
He also stressed the importance of disaster insurance coverage, particularly for older buildings, which may be more vulnerable.
The industry now faces the challenge of balancing immediate sales concerns with the long-term need to reassure buyers about the safety and resilience of Bangkok’s high-rise living spaces.
Source: The Nation
