Upcoming Light Rail System Boosts Phuket's Property Market?

Phuket, a sought-after tourist hotspot, has seen a steady surge in tourist arrivals, resulting in an upswing in property investments. This write-up analyzes how the impending light rail system, upcoming developments, and the market's future prospects can affect real estate investments in Phuket. It caters to both seasoned and new investors, equipping you with crucial insights for your best decision-making.

Overview of Phuket Island Light Rail System

The new light rail system is a game-changer for Phuket's property market. The system consists of two lines that will connect the airport: the city center and the beaches. The light rail system will provide a reliable and affordable mode of transportation for locals and tourists alike. The first phase is planned to connect Phuket International Airport to Chalong Intersection with 21 stations stretching over 47.7 kilometers along the route and a price tag estimated at up to 50 million U.S. dollars. The second phase is to include another 16.2 kilometers to Chatchai Checkpoint. The first phase was expected to open in 2024, however, some technical issues were found in the plan and design that needed to be fixed in time to support Phuket's bid to host Expo 2028, a major international trade fair for which five countries are competing. 

Here is the list of 21 stations in the first phase of Phuket Island Light Rail System.

Impact of the Light Rail System on Phuket's Property Market

Phuket's property market will experience a substantial impact from the new Phuket island light rail system. The system will enhance the travel experience of tourists, leading to a surge in demand for property in the most popular areas. Phuket Town, Patong, and Chalong Bay are the areas anticipated to benefit the most from the light rail system, as they are already in high demand among tourists, and the new system will only make them more accessible.

Furthermore, property prices are likely to increase due to the heightened demand in these areas. Investors who purchase property in these locations before the completion of the light rail system are poised to reap a significant return on investment.

Upcoming Property Developments in Phuket 2023

Phuket has several noteworthy property developments on the horizon. Among the most thrilling of these is the Laguna Park 2 in Choeng Thale, which features opulent houses and villas in Phuket that boast breathtaking views of Laguna lake. Another noteworthy development is the Layan Green Park project in Layan, featuring lavish units ranging from studios to 3-bedroom options and complete with comprehensive facilities to meet all living needs. Finally, ADM Platinum Bay by Wyndham in Kamala, featuring luxury apartments and penthouses with picturesque views of Kamala Beach and Andaman Sea, is also a development worth considering.

Future Outlook for Phuket's Property Market 2023

The ongoing pandemic situation may challenge Phuket's property market in 2023. Travel restrictions and uncertainty may affect market growth, but the Thai government plans to reopen the country to international tourists, expected to have a positive impact on the property market.

Sustainable development is a major trend shaping Phuket's property market in 2023. Developers focus on creating eco-friendly and sustainable properties to meet the growing demand for sustainable living. Additionally, the Thai government's plan to create a new Smart City on the island is expected to attract more investors and boost the property market.

Phuket luxury villa market is also expected to grow in 2023 due to the rise of high-net-worth individuals and increasing demand for luxury living. Furthermore, the rental market is expected to expand with the rise of digital nomads and remote work, leading developers to focus on properties catering to this growing demand. Overall, the future outlook for Phuket's property market is positive, and it is an attractive location for investment.