BTS Stations: Key Drivers of Condo Prices in Bangkok

BTS system, also known as the Skytrain, is an elevated rapid transit system that effectively connects various parts of Bangkok. BTS Skytrain provides commuters with a convenient and efficient mode of transportation in Bangkok City. With strategically located stations along different neighborhoods and business districts. BTS stations significantly influence condo prices in Bangkok.

Condos near BTS stations offer you living in Thailand the advantages of convenient transportation and easy access throughout the city. These condos provide a comfortable living space while being near the efficient BTS network. This not only saves you time and money on daily commuting. But also allows you to explore the city effortlessly while minimizing travel expenses. 

Particularly for newcomers to Thailand, condos near BTS stations are highly appealing as they offer a stress-free daily commute, free from traffic congestion and long travel times. Living near a BTS station ensures a seamless transition and enables newcomers to navigate the city with ease, facilitating their exploration of Bangkok's vibrant culture and attractions. 

Supply of Condos history in Bangkok

• Condominium development resumed in 2004 after a period of inactivity following the Asian Financial Crisis, with an initial focus on the downtown area and larger units.
• The Global Financial Crisis in 2008 led to a significant decline in foreign demand for downtown units. Prompting developers to shift their attention to the prioritized one-bedroom units.
• The annual supply of newly completed condo units started to increase dramatically in 2008, raising concerns of potential oversupply and a market bubble reminiscent of the pre-1997 Financial Crisis.
• The buyer base in the market had shifted, with end-users becoming dominant compared to speculators and rent-seekers in 1997. Major developers now undertook the majority of projects, leading to a more disciplined development process based on demand rather than speculation.

Bangkok Condo Supply 2003 - 2008

• During the past five years between 2003 and 2008, there were over 120,000 condominium units completed. According to the diagram above, the supply of condominiums in Bangkok increases steadily with an increasing rate of supply in the outer city area, while the scarcity of land in the downtown area causes the slowdown of development projects. There were approximately 23,987 condominium units located in downtown Bangkok, with 12,183 units located between Sukhumvit Soi 1 and Soi 55, which is the Sukhumvit Zone.
• According to CBRE data, the combined existing and future supply of listed developers since 2009 amounted to 32,877 units. Proximity to mass transit stations plays a crucial role, with developments within 300 meters exhibiting the highest take-up rate, followed by those within the 301-600 meters and 601-900 meters range. This emphasizes the significance of location and accessibility in the demand and desirability of condominium projects in Bangkok.
• By Q1 2012, the total supply of condos in downtown and midtown areas reached approximately 316,959 units. The downtown area accounted for 30% of the supply (93,593 units), while the midtown area accounted for 70% (223,366 units).
• The growth in the midtown area can be attributed to lifestyle changes brought about by the completion of the BTS Skytrain in 1999 and the MRT in 2004, as well as a greater preference for condos among Thai buyers and an increasing trend of the younger generation moving out of their family homes before marriage.

Bangkok Condo Supply 2017 - Present Day

• In the first half of 2017, the Bangkok condos market witnessed significant growth. The total number of new supplies increased by 39% to 30,493 units compared to 21,927 units in the same period of 2016. The market expanded both in the inner and outer city areas, resulting in a total supply of 506,662 units, a substantial increase from 445,380 units in the first half of 2016. Notably, the CBD's condominium market was fueled by the introduction of new luxury offerings.
• In 2018, the condo market in Bangkok experienced a record-breaking year with the highest number of new project launches in a decade. Approximately 65,000 units were introduced, marking an 11% increase from 2017. This brought the cumulative supply of condominiums in the capital from 2009 to 2018 to around 500,000 units. Notably, a significant portion of the new supply was concentrated in the suburban areas along the extensions of the Green and Blue mass transit lines, which accounted for 57% of the fourth-quarter launches. These suburban locations continued to attract strong interest from developers throughout the year.
• In 2019, the Bangkok apartments market saw a total of 43,200 units sold. Out of this figure, 20,700 units were from new supply in 2019, representing an average sales rate of 48%. The remaining 22,500 units were from supply prior to 2019. These sales contributed to an overall gross sales rate of 90%, leaving 62,700 units still available in the market. However, the sales rate experienced a 17% decline, although it remained lower than the rate of new supply deceleration.
• The second quarter of 2020 witnessed a sharp decline in new condominium projects in Bangkok, with only five projects launched, offering a mere 1,206 condo units. This marked a significant 79.5% decrease compared to the previous quarter. Additionally, the net supply of condo units in the first half of 2020 was only 7,086 units, reflecting a substantial 61.9% drop compared to the same period the previous year. The survey also indicated a considerable year-on-year decrease in the investment value within the condo market. Experts estimate that the total condo supply for 2020 may not exceed 25,000 units, representing the lowest level in the past decade.
• The Bangkok flats market encountered challenges in the latter half of 2021, primarily due to negative market sentiment and an economic slowdown. New unit launches declined by 20.3% compared to the first half, resulting in only 9,586 units entering the market. Although the outer city area contributed to market growth, the overall market experienced a deceleration period. Sales during this period reached 2,769 units, reflecting a pre-sale rate of 28.9%. Additionally, average selling prices for newly launched projects decreased by 2.3% compared to the first half. These factors underscore the subdued market conditions and the impact of economic factors on the Bangkok condominium market in the latter part of 2021.

• The Bangkok condos market displayed signs of recovery in the first half of 2022, overcoming the challenges posed by the tepid economic conditions of 2020-2021. Developers responded by launching new projects within the Bangkok market, resulting in a significant increase in new unit launches. A total of 28,198 units were introduced, marking a 194.2% spike compared to the second half of 2021. The outer city area remained the primary driver of market growth, particularly along the Phaholyothin road district. Conversely, the inner-city area saw more subdued activity, with a single project in the Sathorn Silom submarket contributing 1,237 units. The overall pre-sale rate reached 50.5% in the first half of 2022, indicating strong demand and average unit selling prices recorded a minor decline of 0.6% compared to the second half of 2021. Notably, Ratchada - Rama 9 in the outer city area commanded the highest unit-selling prices.

A large percentage of condominiums are located in the Sukhumvit area where important offices and shopping centers are located. Sukhumvit is the most established residential area, supported by the core BTS Sukhumvit Line, with 31% of the condominium supply in the downtown area. The supply in the Silom/Sathorn area, which is supported by BTS Silom Line accounts for 19%. This shows that the most popular condominium locations are along the BTS SkyTrain network.

Regions in Bangkok with Condos

The condominiums situated along the BTS Sukhumvit Line, particularly the area from Siam station to Phra Khanong station, are anticipated to garner significant popularity. These condos primarily belong to the luxury segment and predominantly offer 2-bedroom units. The average price per square meter stands at approximately 93,150 baht, with an average unit price of about 8.77 million baht. 

However, it is worth noting that the demand for condos along the Silom BTS route, denoted by the Dark Green line, surpasses that of the Sukhumvit Line. The Silom Line predominantly features mid-range condos with lower average unit prices. Despite not being a central hub location, the appeal of the Sukhumvit Line lies in its close proximity to the BTS stations, coupled with the availability of ample space for new development projects. As a result, the condominiums neighboring the BTS Green Line, regardless of the shade, hold equal popularity in the market.

According to FazWaz's transaction records, the table below shows the sales data for condos situated in close proximity to the Light Green Line or Sukhumvit Line BTS stations. The table highlights the 4 most popular locations as follows:

Location	2 Bedroom	Avg. Sales Price	Price per SQM.
Asoke	14 units	฿8.94M	฿137,000
Phrom Phong	11 units	฿15.94M	฿118,265
Thonglor	9 units	฿11.53M	฿124,000
Nana	6 units	฿7.91M	฿67,400

*Note: Asoke is in the Khlong Toei Nuea Sub Region, Phrom Phong is in the Khlong Tan Sub Region, Thonglor is in the Phra Khanong Sub Region, and Nana is in the Khlong Toei Nuea Sub Region.

• In the downtown area of Bangkok, the luxury segment-grade condominiums comprise 30% of the market, while high-end and economy segments account for 11% and 34% respectively. When considering the unit types, one-bedroom units make up 46% of the market, followed by two-bedroom units at 27%, and three-bedroom units at 16%.

Based on the transaction records obtained from FazWaz, the subsequent table showcases luxury segment condominiums with prices exceeding 30 million baht.

Sub Region	Project Name	Bedroom Types	Sales Price
Khlong Toei Nuea	The Lakes	3	฿66M
Sathon	Four Seasons Private Residences	2	฿57.6M
Khlong Toei Nuea	Prime Mansion Sukhumvit 31	2	฿52M
Phra Khanong	Park Court Sukhumvit 77	3	฿49.9M
Pathumwan	Sindhorn Residence	2	฿37.47M
Khlong Tan Nuea	Le Raffine Sukhumvit 39	2	฿36.5M
Khlong Tan Nuea	Baan Ananda	3	฿35M

 

Upon reviewing the table, it becomes apparent that the majority of luxury segment condos are concentrated in highly sought-after locations, aligning with the information provided in the preceding table. Furthermore, the predominant bedroom type among these condos is 2 bedrooms.

• In the middle-tier condominium segment, a study revealed that 63% of buyers purchased a condominium for their own living purposes, indicating a genuine demand for residential properties. Investment purposes represented 19% of purchases, while speculative buying accounted for 15% of the market.
  

These statistics highlight the varying preferences and motivations of buyers in the Bangkok condominium market, with a range of condominium grades and unit types catering to different needs and aspirations.

Why Buyers Prefer Newer Condos

Buyers in the real estate market exhibit a preference for newer condominiums over older ones. The allure of newer condos lies in their modern amenities, updated infrastructure, and contemporary designs. The appeal of a fresh, untouched living space resonates with buyers seeking a more modern lifestyle. 

Buyers prioritize the benefits and advantages that come with investing in recently constructed properties, leading to a robust demand for newer condos. This is due to their improved energy efficiency, advanced technology, and the sense of convenience and luxury they provide.

Prices of Condos Near BTS

In the current real estate market, condominiums located in close proximity to BTS stations emerged as the top preference for buyers interested in Bangkok. While the price of these condos tends to be higher compared to those in less accessible areas. The value of convenient transportation and the abundance of nearby amenities contribute to a fulfilling living experience. Moreover, these properties offer a range of benefits beyond mere accommodation. Furthermore, investing in condos near BTS stations can prove to be financially rewarding, as they often yield favorable returns on investment (ROI).

The table provided below represents our transaction records, shedding light on the prevailing demand for condos situated around BTS stations. The price range encompasses a diverse spectrum, accommodating both affordable options and those falling within the mid-range category.

Location	Types	Bedroom Types	Sales Price
Asoke	Dev Unit	1	฿7.88M
Sathon	Dev Unit	1	฿7.5M
Khlong Toei Nuea	Dev Unit	1	฿5.76M
Phra Khanong	Dev Unit	Studio	฿2.56M
Pathumwan	Off Plan	1	฿17.1M
Khlong Tan Nuea	Resale	5	฿21M
Khlong Tan Nuea	Resale	2	฿13.5M
Khlong Tan Nuea	Resale	2	฿13M
Khlong Tan Nuea	Resale	2	฿6.5M
Khlong Tan Nuea	Resale	2	฿5M
Khlong Tan Nuea	Resale	1	฿4.95M
Khlong Tan Nuea	Resale	1	฿4.4M
Khlong Tan Nuea	Resale	1	฿2.26M
Khlong Tan Nuea	Resale	Studio	฿1.48M

 

In our fast-paced society, time is of great importance. Maximizing our productivity and quality of life hinges on efficient time management. Choosing a residence near a BTS station offers a valuable advantage, as it saves precious time on daily commutes. With convenient access to public transportation, individuals can enjoy more leisure time and have the opportunity to invest it in meaningful pursuits. Therefore, the strategic location of a property near a BTS station should be carefully considered, as it provides a practical solution for optimizing time utilization and enhancing the overall lifestyle.

Bangkok MRT & BTS History with Real Estate

The impact of the Bangkok Mass Transit System (MRT) on the real estate market in the city cannot be overstated. Since its starting point in 2004, the MRT has already changed the way people live in Bangkok. Resulting in increased demand for properties located in close proximity to MRT stations.

In the MRT's early years, property prices near stations saw significant growth. Condominium prices near the Sukhumvit Line's Petchaburi station surged by 300% from 2004 to 2007. The MRT, an integral part of Bangkok's infrastructure, will continue to drive the city's real estate market.

Below are some key MRT lines in Bangkok:

• MRT Blue Line: This line extends from Hua Lamphong to Bang Sue, with a branch line connecting to Wat Mangkon.
• MRT Purple Line: Running from Tao Poon to Bang Sue, this line includes a branch line reaching Rat Burana.

BTS History with Real Estate

Properties located near BTS stations experienced significant price appreciation, with some areas witnessing up to a 500% increase in value. Although the rate of price growth has moderated in recent years, properties near BTS stations continue to command a premium due to their convenient location and accessibility.

Rental rates near BTS stations also remain higher compared to other areas, reflecting the desirability of living near efficient transportation options. The BTS Skytrain has attracted foreign investors who recognize the stability and potential for appreciation in properties located within the BTS catchment.

The expansion plans for the Bangkok Skytrain system include the construction of three new lines, each contributing to the enhancement of Bangkok's public transportation network. However, it is important to note that these new lines will not originate from the Midtown area. The upcoming lines are as follows:

• The Yellow Line: This elevated monorail line spans 30.4 kilometers and serves Bangkok and Samut Prakan Province. With a total of 23 stations, the Yellow Line officially commenced commercial operations on July 3, 2023.
• The Pink Line: The Pink Line, stretching from MinBuri to Bang Sue, offers convenient transportation for commuters. It will also feature a spur line connecting to Suvarnabhumi Airport, further improving accessibility.

Recommendation to buy 

In recent years, the Bangkok real estate market has witnessed a growing preference for high-rise condominiums near BTS stations. This trend can be attributed to several factors:

1. Land scarcity in prime locations near BTS stations drives developers to maximize vertical space by constructing high-rise buildings.

2. The increasing urban density and population growth in Bangkok make high-rise condominiums an efficient solution to accommodate the rising demand for housing.

3. High-rise developments near BTS stations offer a range of amenities, such as fitness centers and swimming pools, enhancing the quality of life for residents.

4. Proximity to BTS stations provides residents with convenient access to public transportation, meeting the needs of professionals and commuters seeking a hassle-free urban living.

While low-rise developments still cater to specific preferences, the demand for high-rise condominiums near BTS stations remains strong due to the combination of urban density, convenient amenities, and excellent connectivity. This trend reflects the preference of buyers looking to invest in properties near BTS stations. (For MRT visit the article here)

The developer plays a crucial role in buyers' decisions when it comes to investing in condominium projects. 

The pie chart offers valuable insights into the factors influencing condominium purchase decisions on a project basis. It is important for developers to know what advantages these popular projects have accordingly to meet the expectations of discerning buyers. By acknowledging and addressing these factors, developers can position their projects strategically to attract and satisfy discerning buyers.

When considering the real estate market in the Sukhumvit region, it's important to note that the top 10 developers in Thailand are highly regarded for their product design and quality. These developers have established a strong reputation for delivering exceptional condominium projects that meet the demands and expectations of buyers. With approximately 90% of these developers being privately owned companies, they have the flexibility and autonomy to focus on delivering high standards of construction, design, and finishing.

What’s Next 

The current housing market demonstrates a clear demand for residential properties in high-density areas near business districts like Sukhumvit. Consequently, condominium prices in these areas tend to be higher compared to less crowded locations such as Ratchada. Structural variables, including room size and developer, also contribute to price differentials. However, it is worth noting that these variables hold less significance when compared to factors such as proximity to BTS stations and nearby amenities.

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