New projects of late have been offered with a large number of features but trying to value these can be difficult. Certainly there are many extras on offer as developers are keen to sell units and facilities are relatively in expensive to build when considering the cost is shared between all unit owners. So what is the value of various features and how can these help to sell or rent out an apartment?
A swimming pool is one of the basic facilities that comes with most new condos, though not all. You may find city center developments may not offer a pool due to the nature of their location and the amount of land available to the project’s developer. Still a pool is worth about 50,000 to 100,000 on the asking price of a studio or one bedroom condo and around 500 to 1000 baht when it comes to rental.
More valuable still, at least to some, is a well-fitted gymnasium. This is especially so since the cost of membership at a commercial gym can cost as much as 5,000 baht per month. Look to attribute about 100,000 to the value of a gym at the time of purchase, and for rental around 1000 baht or more. Of course it would require a customer who has good intention to use the gym to see the real value in it. Be aware that much depends on the quality of the equipment in the gym, but imported gear such as Technogym equipment is highly valued as this type of equipment is similar to that used in commercial gyms.
Yet a pool and gym, whilst previously considered as special extras are now considered the norm. New technologies have lead to additional features that are becoming the new standards for condo buyers and tenants alike.
In terms of new units, developers are much more commonly offering fully fitted units with all furnishings, a flat screen TV, an induction hob in the kitchen and other technological advancements such as key card and videophone security. No longer is a shell unit the norm, indeed some condos are now sold on their high tech extras alone. The value difference of a fully fitted studio unit with all modern fittings over a shell unit is around 400,000 baht for a new buyer.
Home automation is an area that is enjoying growth in the market and some developers are installing comprehensive automation systems in their units. These can control lighting, security and appliances by way of a remote control or even by way of an internet connection. Depending on the complexity of the system look to value home automation at around 50,000 baht for a unit at sale time or around 500 to 1,000 baht per month for rental.
The pre-fitting of super high speed Internet can go along way to ensuring that owners or tenants can enjoy an expected level of online data delivery. This can be worth around 1000 baht per month, but if centrally administered in the building it could be more valuable as there will be rapid response for maintenance or interruptions to service etc.
Other extras are abound, but are relatively recent. A landscaped garden or green area is now a common addition to a condo project. Even if the land does not allow for a garden, you may find it on one of the upper floors or on the top floor in the form of a roof top garden. With urbanization now rapidly taking over green spaces, this extra is becoming more and more valuable. It should add between 10,000 and 25,000 to a unit’s value and around 500 baht for rental per month, depending on how large the garden is and whether or not it is in a peaceful location for maximum enjoyment.
Security in common ways and shared areas is now touted as a feature and indeed it has embodied technological advances. This type of security can be considered separate to, but also supporting, security features within a unit itself. The types of security features commonly found are fingerprint readers at doors, key card in lifts, and scanning of car registration numbers in the car park area and at the condo gate itself. Other high tech security includes face recognition and retina scans, though these are less commonly found. Of value is the abundance of gate staff and other security personnel that take care all aspects of the buildings safety. The value of comprehensive security system is worth around 50,000 baht per unit and for rental around 500 baht per month.
Going full circle, additional niceties such as a sauna and Jacuzzi will add even more value than a pool and gym alone. Look to add around 500 baht per month for both of these when renting out and around 20,000 baht worth of value when buying or selling.
Of course maintenance of all of these services is very important and although not necessarily driven by technology, the quality of the management team in place at a given condo building will be key to the long-term value of the units within it. A reputable developer will have a high value placed on it leading to units attracting a premium of up to 500,000 baht. For tenants, knowing that they will have a trouble free stay due to an efficient and fully staffed management system, will provide a benefit worth around 1000 to 2,000 baht per month. Of course the owner will normally pay management fees, but the rent can be increased accordingly if management is well regarded in the market place.
The lobby is one other place where extras are being employed. Condos are now looking more and more like 5 star hotels when it comes to their lobby areas. If the lobby is looking very opulent but also modern, with sculptures, chandeliers and other artworks then it can add panache and extra value to the unit in the amount of around 500 for rental and 30,000 to 50,000 for a purchase.
Finally, a car parking space is hardly high tech but will be an important thing for car owners to have providing ease of parking without the frustration of trying to find an empty space. Look to add 1000 per month for rentals and 100,000 for a purchase if the unit has a dedicated parking space.