Construction & Real Estate

In 2015 the construction sector grew by 15.8%, a significant improvement over 0.1% in 2013 and 3.7% in 2014, and the industry contributed 2.8% to GDP. Residential projects accounted for 66% of total construction area permitted in 2015, while industrial projects made up 16% of the total. Continued economic expansion, rising demand for housing and, most importantly, renewed government investment levels in public infrastructure are projected to be the main drivers of growth. In addition, the government’s tax incentives intended to attract investment from foreign companies in agriculture, renewable and alternative energies, IT and tourism should also augment construction works. Continued economic growth and Bangkok’s attractiveness to foreign businesses and individuals should sustain property demand going forward, even with new stock across all subsectors set to hit the market in the coming years. This chapter contains interviews with Kan Trakulhoon, Chairman of the Management Advisory Committee and Former President, Siam Group; and Polpat Karnasuta, President, Nawarat Patanakarn.