The real estate market in Pattaya is attracting more interest from Chinese and Russian buyers who are pouring about 160 million baht into property, said Bruno Pingel, chief executive of Siam Best Enterprise Co Ltd. Siam Best is developing the country's tallest resident building, Ocean 1 Tower on Jomthien Beach. ''During the past six weeks, Chinese and Russian buyers have been responsible for kick-starting the local real estate market to the value of 162 million baht. It is difficult to define their sudden interest but I have no doubt they are influenced partly by the fact that a democratic election is expected for Dec 23,'' he said.
Mr Pingel viewed that the real estate market had been affected by a variety of factors on the world stage that could not be controlled. Consequently, after a three-year boom market, the housing market declined over the past year, while the condominium market was flat.
He felt that the commitments those Chinese and Russian buyers had made was a huge confidence boost for Pattaya.
''Interestingly, all of the buyers are people with young families who have fallen in love with Pattaya and in particular Jomtien Beach.''
Siam Best has sold three homes at View Talay Villas residential estate, four houses at Majestic Residence beach side estate and three units at Ocean 1 Tower.
Regarding the construction of the 91- storey, 327 metre tall Ocean 1 Tower, Mr Pingel said the company last Monday conducted a public hearing chaired by Chon Buri governor Pracha Tae-rat and attended by Pattaya City representatives, Environmental and Natural Resources authorities, community leaders, tour operators and Pattaya residents.
Weera Sinto, managing director of N.S. Consultant Co and Ocean 1's environmental adviser said that at the public meeting, the project's layout has adjusted to meet local authorities' requirements, especially on issues of building structure and safety measures.
The concern was about the use of water. The project estimates it will need 700-800 cubic metres a day, half would be provided from the city's water supply and the rest from recycled waste water.
The 12-billion-baht Ocean 1 Tower is the first for which its promoters have explained their development plan to the public. It is also working with Pattaya City to set up a committee to inspect the project during construction, expected to be completed by the end of 2011.
The construction start awaits an environmental impact assessment (EIA). Mr Pingel said the company expected to have formal approval this month to start building following the successful public meeting.
However, there is the final process of public hearing from residents within a one-kilometre radius that would involve about 400 parties.
Siam Best reported that 23% of Ocean 1 Tower has been sold already. Prices range between 125,000 and 130,000 baht per square metre, and would increase by 10,000 baht per sq m when it receives permission to construct the project.
Most buyers are from Europe, the United Kingdom, Australia and the United States, but it expects more inquiries from Thai buyers after the public meeting.
He said the company was confident of 80% sales within the next 12 months.
Source Bangkok Post
Monday, October 8, 2007
Work on Ocean1 Tower in Jomtien to start soon
Pattaya's tallest condominium project, Ocean 1 Tower with 90 floors on Jomtien Beach Soi 5 will start building soon as the developer expects to obtain the environmental impact assessment permit shortly. A visit to the site shows that Thai Bauer, assigned to provide the foundation work, has begun test runs on piling at the 12-rai site. The estate is situated about 250 metres inland from the beach and main road.
Ocean 1's sales office is located near the entrance to Jomtien Beach from Pattaya, where a mediumsized billboard hangs.
The developer has not built anything at the actual site, saying it needs to devote the entire plot to hold facilities that make "a special kind of concrete". Show units at the site are scheduled to open in 16 months.
The road at the site will also be widened to 12 metres from the existing 8 metres in compliance with building regulations, said the developer.
The building is designed by Woods Bagot while K-Tech has been contracted to build Ocean 1. Because of the scale of the project, the developer expects the condominium to take four years to complete, roughly by 2011.
It will contain about 610 units, ranging from studios of about 50 square metres to 300 squaremetre penthouses.
The selling rate ranges from Bt125,000 per square metre at the low zones to Bt135,000 for high floors. Studio units are priced from Bt130,000 a square metre.
The developer calls the project a "prestige residence" and, in its online advertisement, urges buyers to reserve their "place in Heaven".
While it is true thousands of tourists flock to Pattaya and Jomtien for recreation, it is rare to hear the resort compared to Heaven. Yet there is a great deal of truth in that, as an investment vehicle, quality projects in this part of the country is quite limited.
On paper, the plan is enticing indeed. The tower will have eight floors of car park to ensure ample space for residents, who will be assigned fixed parking spaces.
On the top of the podium on the 9th floor, residents will be able to enjoy a large swimming pool as well as a 50-metre lap pool. A children's pool will be at the other end of the podium. The developer also plans to install a 150-metre jogging track on the same floor.
The tower will be served by 13 elevators in all.
The units will be fitted with kitchens from SieMatic, a top brand from Germany. They will also employ the latest Daikin airconditioners, where one compressor will be sufficient to serve all cooling units in an apartment.
The most interesting feature is the company's plan to use solar energy to power much of the building's upkeep, which is expected to lower maintenance fees to between Bt28 and Bt30 a square metre.
As of last week, 24 per cent of the project had been sold, said the developer. The optimism for property projects in Pattaya stems from the massive influx of tourists, both local and foreign, all year round.
The journey from Bangkok often takes three hours or more because of chronically jammed roads, not only at Pattaya but at many towns along the way, especially Chon Buri and Sri Racha, which have exploded in size and population the past few years.
Overcrowding in Pattaya has led to frequent power outages as overloaded fuse boxes blow up or catch fire, blacking out entire blocks for long hours.
The flood of arrivals and unchecked growth have sent food prices spiking in Pattaya.
Some fastfood outlets charge 10-20 per cent more for items than in downtown Bangkok, an indication of inflationary trends sweeping the cash-flushed city.
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