Bangkok: Krungthai COMPASS points out that the Orange Line West will stimulate housing. Krungthai COMPASS Research Center assessed that the Orange Line West “Bang Khun Non-Cultural Center” project will support the expansion of the city and help stimulate the housing market around the electric train. It is expected that in the future, the value will increase from 39 billion baht per year to 50 billion baht per year.
According to Thai News Agency, Dr. Supree Srisamran, Director of Krungthai COMPASS Research Center, Krungthai Bank, revealed that the housing market is currently facing purchasing power issues, as can be seen from the value of transfers of all types of housing ownership nationwide in the first 7 months of 2024, which was negative 7.2% from the same period last year. This was a contraction in almost every group, both in terms of location and type of housing. Therefore, the housing market needs new supporting factors that will help the market grow in the future, with the electric train development p
roject being one of the important drivers that will help support the housing market in the next phase.
The investment in the Orange Line West (Bang Khun Non – Cultural Center) worth over 140 billion baht is another important project that will connect the east and west of Bangkok, supporting the expansion of the city during the construction period of about 5-6 years from now, which will have a positive effect on directly related businesses, including the construction business, the construction material distribution business, the distribution and installation of electric train systems, as well as creating private sector investment, especially in the real estate development business, in line with the increasing demand for housing in the Bang Khun Non – Cultural Center area.
It is expected that the Orange Line West will be a supporting factor in increasing the sales of residential units in the Bang Khun Non-Cultural Centre area from 5,450 units per year, worth 39 billion baht, to 6,800 units per year, worth alm
ost 50 billion baht. It is recommended that entrepreneurs choose to develop residential units in the segment that is popular with consumers (Product Champion) in each sub-location of the Orange Line West. For example, if it is the Taling Chan-Siriraj area, it should choose to develop condominiums priced below 5 million baht or housing estates priced over 10 million baht, while the Din Daeng-Cultural Centre area should consider developing mid-range condominiums priced between 3-5 million baht and 5-10 million baht, while if it is the Ratchathewi-Ratchaprarop area, it should consider developing high-end condominiums priced over 10 million baht.
