Investment in the hotel property sector in Phuket is expected to exceed B10 billion for the full year – an all-time record.
Mike Batchelor, Managing Director of Investment Sales at Jones Lang LaSalle Hotels, said: “Phuket has seen record investment in the first half of 2012 and the market looks on track to enter a renewed period of growth as savvy international investors strategically secure landmark properties in Asia’s premier resort destination.”
Since the start of the year, Jones Lang LaSalle Hotels has advised on and managed the sale of three prominent properties in Phuket: the Movenpick Resort and Spa by Malaysian-based TA Global, the Evason Phuket by Singaporean-based LC Development, and the Laguna Beach Resort by Hawaii-based Outrigger Hotels and Resorts.
“With international passenger volumes surging 30 per cent in 2011, the island’s international appeal remains strong,” Mr Batchelor said.
In addition, he noted, “International visitors to Phuket exceeded domestic arrivals for the first time. This growth has been fuelled by excellent air links and the expansion of low-cost carriers.”
Another factor driving growth to the region is the B5.4 billion upgrade to the airport, which will double capacity to 12.5m passengers a year.
Political stability in Thailand since the 2011 elections has seen international confidence return to the region as evidenced in the spate of recent sales, JLL says.