Steady Growth in Bangkok's Serviced Apartment Market

Bangkok's serviced apartment sector is witnessing a consistent growth, with an annual increase of 6.2%, according to C9 Hotelworks, a leading hospitality and real-estate consultancy based in Phuket.

Currently, the city boasts 21,509 serviced apartments across more than 120 projects, with an additional 2,319 units from 11 new projects expected to launch this year, as stated by Bill Barnett, managing director of C9.

Prime Locations and Tenant Preferences

"The main tenants are short-term travelers staying under one month, predominantly from China, Japan, South Korea, India, and Europe," Barnett explained. "They prefer serviced apartments for their larger space and amenities like small kitchens and washing machines."

Serviced apartments are mainly located in the central and northern Sukhumvit areas, known for their accessibility to electric train stations, dining, entertainment, top hospitals, and international schools.

Market Trends and Future Outlook

"Bangkok's serviced apartment market is continuously expanding, with 2,319 new units under development. More than 50% of the new supply is concentrated in the lower Sukhumvit area, focusing on mixed-use and hybrid developments," Barnett noted, highlighting investor confidence in the market's growth and the flexibility of stay options.

C9 Hotelworks also highlighted the difference between Bangkok and Phuket's rental markets, with Bangkok's renters seeking long-term condominium contracts, while Phuket sees a balance between short- and long-term renters, especially Russians looking for prime beach properties for residence and investment.