The pleasant neighbourhood of Ekkamai is cheaper than next door Thonglor neighbourhood but offers a more peaceful vibe in vibrant Bangkok.
2018 will be a memorable year for Ekkamai, no longer shall it stand in the shadow of its popular counterpart “Thonglor”. Ekkamai in Bangkok is the designated investment hotspot and there are good reasons for it. Sukhumvit 63, also known as “Ekkamai” runs parallel with Thonglor (Sukhumvit 55) and is also connected via Thong Lo Soi 10/ Ekkamai Soi 5.
This proximity synergizes the two areas resulting in cohesive commercial activities flowing from Thong Lo into Ekkamai and vice versa. The area has developed a vibrant range of leisure options, and is transforming into a residential hotspot appealing to today’s demand.
On the main intersection of Sukhumvit Soi 63 and the main Sukhumvit Road, is a major 4-way intersection that offers a diverse set of establishments along with the Ekkamai BTS station, connecting you to the main avenues of Bangkok.
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The Central Business District of Sukhumvit is only a few stops from the Ekkamai BTS station.
At the far end of Ekkamai, you meet a junction that turns into Petchaburi Road or into the Sirat Expressway (Bangkok outer ring road).
The Eastern Bus Terminal, which many may be familiar with, is located on the main intersection of Ekkamai – with connections to several Eastern Seaboard destinations such as Pattaya, Rayong, and the Koh Samet Ferry.
While similar to Thong Lo in numerous ways, Ekkamai stands apart from its neighbour by offering its own unique living environment. The area is populated by large trees and is less commercial, benefiting from a more peaceful and serene residential environment.
Ekkamai offers a charming Bangkok vibe, especially with its undeveloped shop houses that still host “mom and pop” stores. Recently, more modern and trendy venues opened up in the area, ranging from French bakery shops, Korean and Japanese restaurants, Italian bistros, Spanish Tapas, Cafés/pubs – cocktail lounges and Michelin Guide fine dining establishments.
INVESTMENT OVERVIEW
The average cost of renting high-end condominiums in Bangkok’s CBD and City fringe is reaching an average of 700-800 THB per sq m. When comparing the return on investment in condominiums over the past five years, Ekkamai retained the highest rental yield at an average of 7% followed by Thonglor averaging at 6%.
Investing in condominiums not only gives investors an annual rental return, but also generates capital gains from asset appreciation. Although condominium prices have continued to increase, Ekkamai’s location has chalked up a consistent annual capital gain of 5%.
2017 has been dominated by luxury and super luxury condominium supply – average asking prices reached new heights in areas such as Thonglor, giving growth opportunity to Ekkamai’s residential development.
RISING DEMAND
A transitional lifestyle in the neighbourhood has driven demand for residential units in Ekkamai upwards. New developments in Ekkamai start at 160,000 THB per sq m. compared with Thonglor at 350.000 THB per sq m.
The popularity of Ekkamai is the result of convenient commuting options, great leisure venues and geographical location (Mid-Sukhumvit). On top of this, the living atmosphere makes the area pleasantly relaxing; offering residents a good escape from the hectic Central Tourist Districts.
This combination of factors has contributed to Ekkamai’s appeal and desirability. Buy-to-let investors can positively benefit from investing in Ekkamai condominiums as the area offers a steady market of potential tenants for the past few years. As a reputable premium residential address, it’s a hotspot for great rental options, especially among the expatriates and the growing local middle class segment.
You may have noticed Ekkamai is a narrow road; this is a beneficial factor for future residential planning. Due to restrictions imposed by Bangkok’s planning and building regulations, there will be fewer high rise buildings allowed, thus maintaining a balanced density.
Fewer high-rise condominiums also means increased pressure on overall supply of residential units. This will have a positive effect on capital appreciation.
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