News roundup: Eight developers banking on Nonthaburi to the tune of THB50 billion, and more headlines

For PropertyGuru’s real estate news roundup, eight large developers bet big on Nonthaburi, Thailand. In other stories, Australia’s top operators like Charter Hall, Aliro, and Growthpoint bring fresh capital into their operations, and according to Colliers, the Asian commercial real estate market remains stable.

Big developers banking on Nonthaburi, Thailand

Eight large developers launched or plan to release 4,600 residential units with an expected combined sales value of THB50 billion on 1,300 rai in Nonthaburi, marking the first time they will be developing next to each other while hoping to avoid direct competition.

The pioneer is Property Perfect Plc, which began acquiring plots in Klong Phra Udom in Nonthaburi’s Pak Kret district over a decade ago, starting with a landlocked parcel.

After accumulating more plots and selling the first piece sized 215 rai to the University of the Thai Chamber of Commerce in 2009, the company constructed a four-kilometre road to cut across the land.

Hor Karn Kha Thai Road links Chaiyaphruek Road in the south and Saphan Nonthaburi-Bang Bua Thong Road (Road No.345) in the north, significantly improving the land’s potential.

“The company invested 400 million baht on the road and other infrastructure,” said Wongsakorn Prasitvipat, managing director of Property Perfect, in Bangkok Post. “This attracted other developers, particularly large ones, to invest in this location with us.”

Industrial property might: big portfolio trades to reshape Australia’s industry

Industrial portfolio trades have surged back onto the agenda of major property groups, with top operators like Charter Hall, Aliro, and Growthpoint undertaking moves to bring fresh capital into their operations, according to realcommercial.com.au.

The big industrial groups are looking to capitalise on global interest in Australia’s tight industrial and logistics markets, with equity raisings, recapitalisations, and sales under consideration as billions of assets come into play.

The market has been ignited by sector leader Goodman’s success in striking an AUD780 million portfolio deal with global giant Barings and more deals are in train that will see billions of dollars pour into the country’s industrial and logistics sectors, backing a new wave of modern warehouse and logistics centres.

The interest in the area has also seen portfolios assembled last year come back into play, and others are also being readied for the market.

Asian commercial real estate markets remain stable – Colliers

Colliers has released its latest Cap Rates Report with key findings outlined across office, retail, and industrial sectors.

Out of the 19 markets covered in Colliers’ Q1 2024 APAC Cap Rates report, 11 experienced movements in cap rates.

“The Asian market remains stable, without any significant factors driving movements in cap rates,” Dorothy Chow, Head of Valuation & Advisory Services in Colliers Hong Kong, said in RE Talk.  “Australia and New Zealand have driven the changes in the region, with an increase in cap rates in all the surveyed cities, particularly in the office and industrial sectors. The retail sector remained relatively stable over the past quarter across all markets, except in Brisbane, Melbourne, and Sydney.”

She added, “Asian markets were generally stable, and the cap rate movements observed were mainly driven by oversupply and pressure on rents, causing the cap rates to rise.”

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