| Koh Samui Island Property Investment | | | | not far from Cheong Mon on the hillside. It is only |
| Koh Samui, Thailand's number one tropical Island | | | | 800 metres from the beach, with many of the |
| destination with its own international airport | | | | apartments having spectacular sea views. It is |
| creates an ideal platform for any would be | | | | indeed a fully flexible vehicle and as a lifestyle |
| property investor. Recognized for being an | | | | investment gives its owners the best possible |
| internationally known World class holiday | | | | advantages, having the special feature of a |
| destination not only brings an abundance of | | | | branded hotel management by Astudo. The |
| nationalities but also opportunities for lucrative | | | | project was soft launched in May this year, with a |
| property investment. | | | | show unit being ready for active investors already |
| While the majority of interest has traditionally | | | | in place at the hillside site. There are 9 different |
| been from European countries such as the UK, | | | | types of 1 bedroom units ranging from 50 Sqm |
| Germany, Russia, the Netherlands, France and | | | | to 90 Sqm. Prices start from 3.49m Thai Baht. |
| Scandinavian countries, a new market of | | | | Investment returns are not guaranteed, but with |
| investors is emerging from Asia and Middle | | | | a 35% occupancy level are anticipated to reach 6 |
| Eastern countries including Singapore, Vietnam, | | | | to 8 % at a 3,600 Baht a night average rate. |
| Korea, China and the UAE. The recent surge of | | | | Most owners are anticipated to participate in the |
| interest from Asian investors is due to an | | | | rental program, and by doing so are granted up |
| increase in the levels of disposable income, recent | | | | to 60 days per year free use. There is the |
| deregulation of foreign investment laws (Korea) | | | | possibility before construction commences of |
| as well as new direct air links to/from Koh Samui. | | | | combining 2 or more units to create 2 or 3 |
| Discounted flights within the region also offer | | | | bedroom apartments. Following on from its |
| tremendous value to tourists wishing to holiday on | | | | successful first project, Mandalay Villas, Tibor |
| Koh Samui and its surrounding Islands. | | | | Szedlak CEO of Mandalay Samui Developments |
| Koh Samui's real estate profile includes many large | | | | stated that the company has been founded on |
| branded hotels and exclusive luxury villa | | | | private financing, with no loans or other |
| developments. | | | | outstanding commitments. The legal status of this |
| The market here is firmly based due to the fact | | | | current project gives its owners a leasehold |
| that nearly all purchases of property are made | | | | ownership of 30 + 30 + 30 years. Land |
| without finance. Local mortgages are indeed not | | | | ownership is secured by the fact that each unit |
| readily available, making property prices much | | | | owner equal shareholder in the land owning |
| more resilient to the World financial meltdown. | | | | company. Payment's after the initial 35% deposit |
| What had been seen over recent months are | | | | are based on monthly installments becoming due |
| certain properties being discounted, where the | | | | as work is completed. Sterling has been appointed |
| owner has a need to sell quickly due to financial | | | | as Project Managers with DFDL Crawshaws acting |
| losses sustained elsewhere in the World. This has | | | | are legal advisors. The whole project is set on |
| created several buying opportunities, although | | | | 5,600 Sqm of land and with construction |
| these are generally quickly moved on to investors | | | | commencing in September 2009 and completion |
| with cash. | | | | of Phase 1 by the third quarter of 2010. |
| So recent activity in the property market in Koh | | | | The Samui Emerald Condominium represents |
| Samui has mainly been driven by cash investors, | | | | another attractive option as a lifestyle investment, |
| looking to move funds into property where good | | | | with the construction already underway, now is |
| discounts have been offered. There is activity | | | | the time to take advantage of the remaining units |
| both on resale properties with price reductions of | | | | on offer. Completion of the whole facility is |
| 10% to 30% to move property quickly to release | | | | contractually scheduled for no later than |
| cash and also certain developers looking to | | | | December 2010. Situated along side Plai Laem |
| manage their working capital and clear property | | | | beach it gives easy access to Cheong Mon and |
| stock. Developer's in the early part of 2009 have | | | | back along the coastline to the chic boutique |
| been finishing off part complete properties, and | | | | resort, Fisherman's village. This area is home to |
| selling them at a discount to realize cash. At this | | | | the high end resort, Six Senses-Hideaway and |
| time there are still several opportunities to gain | | | | Giorgio Armani's branded villa development is also |
| and purchase luxury property, before the local | | | | close by. Among the other close by attractions |
| market shows complete signs of rebound and | | | | are Big Buddha, Turtle Island and Koh Som. The |
| starting its predicted growth path. | | | | Samui Emerald units give their owners access to |
| After understanding these current local climate | | | | classy facilities including a large swimming pool, |
| conditions, the Koh Samui market has undergone | | | | restaurant, fitness suite and multi lingual reception. |
| a change of emphasis with the arrival of a new | | | | Units range from 1 to 3 bedrooms, including 4 |
| breed of creative developers aware of the great | | | | Penthouse apartments with standard units from |
| potential from planned increases in numbers of | | | | 44sqm to 109Sqm with prices starting from |
| luxury travelers and investors looking for Lifestyle | | | | 3.05m Baht. Units come fully furnished with |
| investments. | | | | modern designs including all loose furniture and |
| Focusing on two innovative developers both | | | | electrical items. Again, there is no guarantee on |
| anticipating this demand for Lifestyle investment | | | | investment returns but expect 8% with average |
| properties, both focusing on the area surrounding | | | | rental rates estimated at 2,700 Baht per day for |
| Plai Laem and Cheong Mon. They reason that with | | | | a standard studio room with 30% occupancy. |
| the areas fantastic beaches, closeness to the | | | | Samui Emerald will be run like a hotel. Guests will |
| airport and no signs of overcrowding this makes it | | | | be met at the airport, transferred to the site, |
| an ideal location for a lifestyle investment. Indeed | | | | deposits will be taken, guests will be shown to |
| the area still exhibits a traditional Thai feel with | | | | their rooms to find welcome basket and shower |
| small beach resorts combined with more luxurious | | | | amenities waiting. |
| properties, 5 star spa resorts and hotels. | | | | Owners who enter the rental scheme can benefit |
| Both have strong ideas about how to create | | | | from up to 167 days per year free usage, whilst |
| lifestyle property, which act as both an exciting | | | | obtaining income for the rest of the year. Given |
| investment and life style vehicle for those seeking | | | | its legal status as a Condominium, also gives |
| to experience Koh Samui tropical Island life in | | | | foreign investors the opportunity to obtain foreign |
| luxury packages. | | | | title. |
| The Mandalay Gardens apartment project is set | | | | |