Thailand Investment Market View Q1 2009

During Q1 2009, we saw an increase in interest and enquiries about revenue-producing assets, even though there were no major reported transactions of this type. The few land sales seen were completed by developers, some of whom are continuing to expand their development portfolio despite economic conditions.

We continue to believe that we will not see the type of distressed assets seen after the 1997 financial crisis coming onto the market. We have not seen any decline in Central Business District land values.

The recent cuts in the key policy rate (which now stands at just 1.25%), means that investors will seek alternatives to deposits and other fixed income investments which will benefit property.