The building developed by Thailand’s prestigious Chulalongkorn University is situated on Rama IV Road with direct access to the Samyan MRT station. The development has a 90,000 square metre office building link to 22,300 square metre retail podium. There is also an apartment tower with 126 residential units.

“This is the largest office transaction in Bangkok’s history,” said Mr. Nithipat Tongpun, Director and Head of Office Services at CB Richard Ellis Thailand, the sole leasing agent for Chamchuri Square. “This letting is four times larger than any other office lease signed in Bangkok, this means that despite the global economic slowdown, vacancy rates for Bangkok’s grade A central business district office market will remain low.”

Mr. Prapaprot Puprasert, Senior Vice President of Total Access Communication PLC. said, “We selected Chamchuri Square because the building matched many of our key requirements, it has great access with a direct link to the MRT’s Samyan station. You can walk from the station into the basement of Chamchuri Square. The 3,200 square metre floor plate, one of the largest in Bangkok was also a key factor along with the reputation of Chulalongkorn University as a landlord. By signing this lease we are clearly demonstrating our commitment to Thailand.”

Assoc. Prof. Gp.Capt. Permyot Kosolbhand, M.D., Vice President of Chulalongkorn University said, “We are very pleased to welcome Total Access Communication as a tenant in Chamchuri Square. We think the advanced design of the development reflects the spirit of our university.”

This Post is from: Overseas Property Mall, part of Fuzz One Media Group

Total Access Communication Plc Sign Thailand’s Largest Ever Office Lease At Chamchuri Square

What we do know is that he will fork out a whopping US$ 45 million for this prestigious apartment floor, which includes floor to ceiling glass windows, plus another $15 million for the decorating work.

This puts New York back on the market and local Realtors hope it will enliven the luxury property market after news gets around.

The swanky $1.8 billion AOL Time Warner building on Columbus Circle is nearing completion and incorporates a 252,000 SQ. M vertical village in he middle of Manhattan. It is also the city’s largest commercial development since the WTC when it opened in the 1970s with twin 80-storey towers.

The building will feature a new way of living unsurpassed in New York with 189,000 SQ. M of leased out space. It will house six upmarket restaurants; the 250-room, five-star Mandarin Oriental Hotel; the prestigious Jazz at Lincoln Centre and its three acoustically insulated concert halls; some 200 luxury residential units, and 33,816 sq. m. of upscale retail shops.

Future residents of the AOL Time Warner building will be treated like royals with 24 hour room service, maid and turn-down services. Each of the apartments will be equipped with a touch control computer system, its own e-concierge and connected to a high speed Ethernet up-link.

Security is also going to be of the highest priority with elevators featuring thumbprint scanners and mobile phone reception.

The whopping property deal has certainly created a bit of a stir and the commission from this deal alone is estimated to be some $2.5 million.

All in all this investor will fork out a cool $65 million to own one of the hottest real estate in the city of New York.

Photo credits: Flickr

This Post is from: Overseas Property Mall, part of Fuzz One Media Group

Another Record Breaker in New York’s Prime Real Estate Scene

Just when we thought that the global property gloom & doom was never-ending, we appear to see a ray of hope emerge. That ray right now is on Turkey. With most global markets suffering from oversupply, price hikes and rising interest rates, Turkey shows us that there is indeed hope.

It is hard to stay positive amongst all the gloomy reports and while we could easily hike information up and turn them into hype, it would be an outright lie. So when we heard that Turkey is showing rising residential prices after the government decided to relax foreign ownership restrictions in 2005, we were delighted to hear this.

In the past 5 years, Turkey’s property market has appreciated by an average of 7 percent annually. One reason we are seeing this is because of Turkey’s popularity as a tourist hot spot for German’s, Brits and Greeks.

Just in the past year alone, 27 million tourists have taken time out in Turkey to enjoy the sun, sand and warm weather. The country is rich in history and the locals are friendly and helpful, always happy to stop for a chat.

With some of the best coastlines in Europe, it is no wonder the total tourist figure has risen 10 percent since 2007. More and more people are starting to see the great value in this diverse destination.

This demand has spiked short term accommodation in resorts across the country, helping to boost the local real estate market.

With low cost of living and a relative stable and healthy economy, Turkey offers a lot to potential property buyers. If you are from the US, Canada, most EU countries and some Latin America and Asian countries as well as Africa, you can buy property freely in Turkey.

Another bonus is the ease of access property owners have to the rest of Europe. While Jones Lang LaSalle classes Turkey as a “low transparent” property market, tourism will continue to fuel the market in years to come.

All the market needs is sustained supply to prevent a glut of properties like in other once booming markets. Which is much harder said than done.

Photo credits: Phill Davy

This Post is from: Overseas Property Mall, part of Fuzz One Media Group

Turkey’s Real Estate Market On The Up

This Post is from: Overseas Property Mall, part of Fuzz One Media Group

International Property News Beat - Softening Malaysia, Crunch in Mayfair & Canadian Housing

The global financial crisis is rapidly expanding into Hong Kong now. Window displays at some real estate agencies in the city advertise heavily reduced properties, last minute reductions and even cash incentives to prospective buyers.

Poon, a property agent for Midland Realty in Hong Kong said “Before September our branch was making two to three million Hong Kong dollars (256,000 to 385,000 US dollars) every month, but now it’s only around 50,000, a 98 percent drop in revenue”.

Over the next 6 months property prices are expected to decline even more. It is estimated they go down by 20-30 percent leaving many in a financial crisis.

Up until September around 10,000 to 12,000 units changed hands each month. By October however this figure dropped by a massive 50 percent. This left thousands of Realtors in the lurch and they were forced to shut their respective business’.

While this provides opportunities for cash flow backed investors, those seeking a loan might be in for some frustration because many financial institutions capped their applications due to their own cash flow problems.

This reminds us about the late 1990s when average home prices in Hong Kong fell by 70 percent. Industry watchers think that this time it won’t be as bad as back then, but only time will tell whether they are right or wrong.

The dangers of oversupply in the market aren’t looking as big either with 12,000 empty units in the sales pipeline while in the 90s it was over 80,000.

The hardest hit sector is expected in the luxury market. Units at the Residence Bel-Air, a popular high-end development in Pokfulam, are now being offered at a 40 per cent discount to their peak in the first quarter.

A house on popular Victoria Peak, which enjoys spectacular views across the harbor and is the island’s most prestigious address, is selling for less than half of its US$24 million price tag.

_{Photo credits: Mat Strange}

This Post is from: Overseas Property Mall, part of Fuzz One Media Group

Does Hong Kong’s Property Demise Spell An Opportunity for Cash Investors?

Boracay Island is Philippine’s hottest tourist destination. The island receives millions of tourists every year which is about one sixth of the country’s total. But there is trouble brewing in paradise. Expat investors feel no longer safe on Boracay as land grab related violence heats up.

The Boracay Land Owners’ Association held a press conference in Hong Kong this week to draw international attention to their ongoing battle with the Philippine government. Their prime objective is to overturn a 2006 move made by the Philippine government declaring that the whole island belongs to the state.

Many expat investors have owned their properties for many years. They paid good hard cash to own a piece of island paradise and now they fear losing it all to the government.

Reports also talk of increased violence on the island related to property disputes. A lot of fights are happening and that is not a good thing for a popular island destination. Once word gets out that there are serious problems, tourists will no longer feel safe enough to come back to Boracay.

It seems that paradise has turned into a hell hole. The group is now taking the whole matter against the government into the Supreme Court to put a stop to all the fighting and bickering once and for all.

Interesting enough, the Philippine government declines they ever put claims on private land on the island and that the whole land grab is all but an illusion.

Environment Secretary Lito Atienza said the claim by the Boracay Land Owners’ Association was misguided.

This whole episode certainly leaves a bitter by-taste for any would-be investor to the region. It also doesn’t help that an Australian resort owner was held hostage last week by armed men when they forced their way into the resort because of a land dispute. This certainly reeks of wild west behaviour where everybody can do as they please.

The question remains for outsiders watching the whole spectacle, are these allegations against the government correct, or was the whole situation blown out of context?

Photo credits: hbm

This Post is from: Overseas Property Mall, part of Fuzz One Media Group

Philippine Land Grab Causes Frustration with Expat Investors

With the current UK economic slowdown, the British pound is taking a nose dive as we speak (currently GBP/EUR 1.19 and GBP/USD 1.49 - a record low against the Euro). The current state of the weak British pound is putting a large number of foreign holiday property owners in a very tight financial spot as their mortgage payments keep increasing due to the exchange rate while increasing flight costs prevents them from visiting their property as often as they did a few months ago.

This especially affects British investors who own properties in countries like Spain and France. But even those investing into farther shores are feeling the sting of the current exchange rate. A year ago, a Florida home worth US$ 200,000 was to be had for around £95,200 according to the exchange rate. These days the same would cost around £127,400 for same. This is a massive hike just because the pound is falling and costs people a lot more than money.

Many are forced to do their renovations themselves to save money and avoid costly repairs by local tradesmen. Further to this investors looking to keep their neck above water need to act and make their properties rentable in order to raise some much needed funds.

Another problem poses for Realtors in places like Spain and France. They are dealing with an increased amount of British investors who are ready to buy, then fly back to the UK to sort out finances with their local banks. Then they go back to find their dream property has just risen a further 15 percent due to the falling pound.

One way for overseas property owners to make some headway right now is by using arbitration. This means if you get paid in US dollars for your rent, you can trade this back into pounds with a near 30 percent profit on each transaction.

It is estimated that from August 2007 to August 2008 some 170,000 homes have been bought by British citizens in the US. These property owners can now cash in by converting their rental earnings into pounds.

Photo credits: Caribb

This Post is from: Overseas Property Mall, part of Fuzz One Media Group

UK: A Place in the Sun a Little More Expensive due to a Weakening Pound

This Post is from: Overseas Property Mall, part of Fuzz One Media Group

Mid Week - International Property News Beat - Trump, Prospective US Cites & Moscow Show

The REITs company establishments are supposed to help revive Spain’s real estate industry governed by strong rules to keep control.

REITs companies own and operate real estate properties with the first one being established back in 1960 in the US. Since then the concept of these companies has caught on in countries such as Australia and the UK.

The good thing about REITs companies is that they have to distribute the bulk of their income via dividends to their investors. This will give them favorable tax breaks at the company level. Dividends are publicly listed to keep everything above board.

Under the new proposed rules, REITs companies will be tax exempt under the Spanish Corporate Income Tax law. But to achieve this they will have to pay out a minimum of 90% of their rental proceeds and the capital gains on asset sales of investors. REITs must also have a working capital of €15m (£12m, $19m).

All listed companies will need to comply with the disclosure and transparency requirements imposed by the securities regulator Comision Nacional del Mercado de Valores (CNMV). They might also be allowed to trade on the Spanish stock exchange.

One potential issue with this new law is the fact that many developers have financial problems and can barely hold themselves over water these days. It takes a strong developer to have the cash flow to setup a REITs company in today’s market.

Since the real estate market has dropped off more than 40 percent in the last year, many developers are stuck with newly built properties, unable to sell.

In the end, time will tell whether the new proposition will work in the long term or not. The idea is certainly there and seems valid enough to help rectify the mess that is Spain’s real estate market right now.

Further reading:

• Spain’s brave move to revive property [FT]
• Investors should look to Reits in market turmoil [FT Advisor]

This Post is from: Overseas Property Mall, part of Fuzz One Media Group

New Spanish Property Law Introduces REITs

It’s not news that Dubai’s property market is expected to experience corrections next year and according to Morgan Stanley gradually decline by up to 10 percent by 2010. However, a real bombshell was dropped last Thursday when Arabian Business reported that Palm Jebel Ali’s island prices have depreciated some 40 percent in the last two months.

After all the hype and excitement about Dubai’s market, this news is certainly a wake up call for many would be investors who are standing on the brink of making a decision right now.

This fall in property values has been pinned on the global crisis and current investors who liquidate their assets in Dubai in order to keep their cash flow going.

This turn of events puts the development (and more to follow for sure) back to where they were some two years ago. To make matters worse, local Dubai mortgage providers acted and reduced home financing loan-to-value (LTV) to about 70 percent down from 90 in October. Of course this isn’t helpful for those looking to finance a property loan right now.

Five and six bedroom villas on the island used to be valued at around 16 million Dirham (approximately $4.35 million). In the last couple of months however these prices were depreciated to 9 million Dirham instead - a huge loss for current property owners.

Despite this, they didn’t really lose out on a bargain since overall the value of properties on the island increased by as much as 80 percent from the original launch buying price.

As reported from various realtors in Dubai, sales have dried up and making them seems harder these days, unless they accept a significant drop in property prices.

It will be interesting to see whether those predictions will come true in the near future. As for now, it is probably a wise move to hold on the investment for existing property owners while new buyers can snap up a bargain.

This Post is from: Overseas Property Mall, part of Fuzz One Media Group

Dubai Property Prices Falling

Our long time readers have been able to follow the thrill, suspense and excitement that was this season’s Grand Prix. Who would have thought that a young Brit would become the youngest title winner ever and take home the 2008 Championship.

To show you what has evolved over the year since April, we have listed all Grand Prix posts for you. Now you can conveniently browse all the listings and see what’s been happening in the regions in terms of real estate.

• Property Grand Prix Australia/Malaysia
• Property Grand Prix Bahrain
• Property Grand Prix Spain
• Property Grand Prix Istanbul
• Property Grand Prix Monaco
• Property Grand Prix Montreal
• Property Grand Prix France
• Property Grand Prix Britain
• Property Grand Prix Germany
• Property Grand Prix Hungary
• Property Grand Prix Belgium/Italy
• Property Grand Prix Singapore
• Property Grand Prix Japan
• Property Grand Prix Shanghai
• Property Grand Prix Brazil

We hope you enjoyed our reports from the action by the pit lane and shared the excitement of the spectacular showdown of the last race in particular.

This Post is from: Overseas Property Mall, part of Fuzz One Media Group

Property Grand Prix Round Up

This Post is from: Overseas Property Mall, part of Fuzz One Media Group

International Property News Beat - Florida Bargain, Dubai Slowdown & Web 2.0 Real Estate