Increasing costs to affect new Thailand property projects, and more reports

For PropertyGuru’s real estate news roundup, homebuyers in Thailand are encouraged to choose completed housing or units under construction in existing projects, as housing prices are expected to rise next year because of increasing costs affecting new projects. In other news, Colliers, a leading diversified professional services and investment management firm, has released a pivotal sustainability report titled The Race to Net Zero – for Commercial Buildings in Singapore. Lastly, Justin Borgman, co-founder and CEO of Starburst, has outlined key trends he anticipates in data, artificial intelligence, and storage approaching 2025.

Increasing costs affect new Thailand property projects

Homebuyers are encouraged to choose completed housing or units under construction in existing projects, as housing prices are expected to rise next year because of increasing costs affecting new projects, according to the Real Estate Information Center (REIC). REIC reported rising costs in residential development, including land prices, minimum wages and fuel costs, are expected to impact development costs for new projects in 2025.

The prices of new residential units will continue to rise next year based on the home construction price index for the third quarter of 2024, which increased 3.9 percent year-on-year (YoY), reaching 139.4, noted the centre in a Bangkok Post article. The primary factors are the costs of construction materials, which increased 3.9 percent, and labour wages, which rose 5.1 percent YoY.

Net Zero for Singapore’s commercial real estate by 2050 – Colliers

RETalk Asia reports that leading diversified professional services and investment management firm Colliers has released a pivotal sustainability report titled The Race to Net Zero – for Commercial Buildings in Singapore.

Key highlights include:

(1) The urgency of Net Zero – The report underscores the significant contribution of real estate to global energy consumption and CO2 emissions, highlighting that building operations account for approximately 34 percent of global energy use. Singapore’s commitment to achieving net zero emissions by 2050 is highlighted, with various policies and regulations drawn up to reach this goal.

(2) Benefits of Net Zero buildings – These include enhanced resilience to energy supply disruptions, long-term savings through reduced energy expenses, and improved indoor air quality and productivity, leading to higher occupancy rates and rents.

(3) Steps to achieving Net Zero – [a] Develop a Net Zero strategy; [b] monitor and report emissions and progress; [c] use advanced technologies, such as simulation software, to optimise building design and energy usage.

The report is supplemented by a case study demonstrating substantial savings through simulation-based solutions and smart scheduling of energy use, achieving high cost and emission reductions without additional capital expenditures.

Future data trends: real-time analytics & hybrid models

Justin Borgman, co-founder and CEO of Starburst, has outlined key trends he anticipates in data, artificial intelligence, and storage approaching 2025.

Borgman highlights the increasing priority businesses are placing on real-time analytics. “Businesses will prioritize real-time analytics, delivering insights within minutes to keep pace with intensifying customer and market demand and competition. This shift will enable faster decision-making across departments, from marketing to customer service, giving organizations a competitive edge. Real-time data will become essential for companies aiming to act on insights immediately, transforming analytics from an ad hoc, retrospective tool to a proactive business driver,” he explained in DataCenterNews Asia.

Another trend identified by Borgman is the acceleration and scaling of AI facilitated by well-defined data products. “Well-defined data products become a prerequisite for scaling AI workflows like RAG. We all know that your AI is only as good as the data you feed it, and the importance of quality and governance will become more important than ever. Furthermore, data products INCLUDE business context, which is so critical to your AI applications,” Borgman stated.

Discussing data storage trends, Borgman pointed to the rise of the hybrid lakehouse model. “The resurgence of on-prem data architectures will see lakehouses expanding into hybrid environments, seamlessly merging cloud and on-premises data storage. The hybrid lakehouse model offers scalability of cloud storage and secure control of on-premises, delivering flexibility and scalability within a unified, accessible framework,” Borgman commented.

The Property Report editors wrote this article. For more information, email: [email protected].