Samui becoming 'boutique' destination
Sunday, August 24, 2008.
Koh Samui is poised to become Asia's ''boutique island destination'' with exclusive properties with characters different from resort destinations such as Phuket, according to the real estate consulting firm CB Richard Ellis. Prakaipeth Meechoosarn, manager of CBRE Samui, said developments on Samui were limited, although more local and foreign players were starting to get involved, the island remained an exclusive destination for tourists seeking a quieter, more secluded retreat. There are a limited number of condominiums in Samui, and a recent survey of the sector showed that 70% of the total existing and future supply of approximately 500 units was still under construction. The northeast area of the island (Choeng Mon Beach) accounts for 38% of total existing and future supply, followed by the north (28%) and the east (25%). Fifty-nine percent of units were sold as of the end of second quarter. Prices for condominium units on Koh Samui range between 1.8 million and 48.7 million baht per unit, with an average of 10.4 million baht. Villa supply is similarly limited, with around 550 existing and future villa units spread over 41 projects. The north and northeast coasts have proven popular for villa developments, with 21 projects accounting for 40% of total unit supply, followed by the west (17%) and southwest (14%). Forty-four percent of the total existing and future supply had been sold as of the second quarter. In the long run, CBRE believes, the high-end and luxury segments of the Samui property market will outperform the market overall. Coastal land prices have been on the rise and prime plots are becoming rare. ''Land price movements will play a significant role in the pattern of development on Samui, as will the continued development of infrastructure and other support services,'' said Ms Prakaipeth.