Phattarachai Taweewong, research and communication director at Colliers Thailand, said while Bangkok’s market is slowing, both Thai and foreign investors are increasingly drawn to Phuket’s strong growth potential, reports the Bangkok Post.
“Phuket is a premier tourism and investment destination,” he said. “Condos and villas continue to attract strong interest from both domestic buyers and foreign investors seeking properties for investment or residential use.”
Developers are responding by shifting capital towards Phuket, targeting long-stay demand and growth supported by a more diversified local economy.
The island is increasingly viewed as a long-term investment destination rather than a cyclical resort market, said Mr Phattarachai.
DEVELOPMENT MOMENTUM
Colliers Thailand reported more than 85 new residential projects were launched in Phuket during the first nine months of 2025.
These condos and villa developments totalled over 5,000 units, representing a combined investment value exceeding B73.1 billion.
“The sales performance broke records,” he said. “Some major developers reported selling out entire projects within a single day. Others secured 50-70% of total units within one month of their launch.”
New condo launches during the period totalled 4,648 units across 18 projects, worth B36.4bn, concentrated in Bang Tao, Cherng Talay, Kata, Karon, Rawai and Phuket Town.
Colliers expects new condo supply to continue to decline, from around 10,000 units last year, which was down from 14,718 units in 2024, following heavy launches in 2023-24.
VILLA SUPPLY PEAKS
New villa launches tallied 872 units from 60 projects in the first nine months of 2025, with a combined value of B36.7bn.
Cherng Talay accounted for 56% of villa supply, reflecting its growing appeal among long-stay buyers and investors.
“Luxury villas priced from B30-50 million are the market’s sweet spot. These units attract wealthy Thais and foreigners seeking long-term yields. Developers are now moving slightly inland as beachfront land becomes scarce,” said Mr Phattarachai.
Colliers expects annual villa launches to moderate to 1,000-1,500 units, down from a peak of 1,922 units in 2024.
That surge marked a sharp increase from 505 units in 2023 and far exceeded the historical average of fewer than 100 units per year before 2022.
RESHAPING FACTORS
Bill Barnett, managing director of C9 Hotelworks, likened Phuket’s infrastructure expansion to the Bangkok skytrain, noting improved connectivity has reshaped the island’s economic profile.
He estimated incoming residential investment value at US$14bn (B455bn), derived from 43,481 residential units. Cherng Talay leads with 21,625 units, nearly half the market, followed by Rawai with 5,149 units, or 12%.
The remaining units are spread across the west coast, Phuket Town and Mai Khao, including Kata and Karon with 3,885 units, Phuket Town with 3,405 units, Mai Khao with 2,717 units, Patong-Kathu with 2,631 units and Kamala with 2,132 units.
Non-branded residences dominate, valued at B342bn, while branded projects account for B113 billion, reflecting a broad mix of resort and luxury products.
Tourism remains a key demand driver. During the first nine months of 2025, Phuket airport recorded 3.8mn foreign and 2.4mn domestic passenger arrivals. While total arrivals rose only 0.7% year-on-year, growth thrived from January to April, with arrivals up 9.2%.
“Buyer demographics are shifting,” Mr Barnett said, citing an influx of Northern European “snowbirds” staying on the island for extended periods.
Looking ahead, 5,208 hotel rooms are scheduled for 2026-29, reinforcing Phuket’s position as a luxury tourism and long-term residential hub.