Thai developers target mainland China

Developers from Thailand are increasingly targeting customers in mainland China.

Sansiri Public, one of the country’s three largest homebuilders, has signed a deal with Fang, China’s largest property information listing service. The move marks a concerted shift away from Hong Kong, which has traditionally been the largest overseas market for Sansiri, making up 45 per cent of customers. Demand, though, has flattened, the firm tells the South China Morning Post, prompting them to look to mainland China, which makes up 20 per cent of activity.

“Investment from Hong Kong has plateaued. But we anticipate strong growth from mainland China,” says Cobby Leathers, director of international business at Sansiri.

Thai developer is aiming for 200 million yuan of sales to mainland China buyers this year – a significant rise from the 84 million yuan recorded in 2015, although this was already a three-fold increased over 2014.

Anchalika Wongwaiwisarn, managing director of Thai agents Ancha Property, predicts that China’s mainland interest will increase.

“The political problems in Thailand would not impact Chinese real estate interest,” she tells the newspaper, citing Chiang Mai as a hotspot, due to its affordable prices, with Phuket popular as a lifestyle investment, despite lower expectations of capital growth.