Future of High rise Property Projects on the Edge Remain Undecided

Regardless of the optimism in the real estate market, there are at present a large number of high-rise property development projects left on the edge. At the same time as a few of them have the prospective to continue construction, it is estimated that several will see no movement in the near future.

A large number of high-rise property development projects were initiated and completed in Bangkok from the property market crest in 1994. Though, construction of most of these projects comes to an end when the economic crisis hit the roof in 1997. At the same time as a number of them have restarted construction over the past recent years in response to better market conditions, lots of them have remained left incomplete since then.

The finding of a recent study reveals that there remain 48 high-rise projects, whose construction is in progress and then has been put on hold from 1997 till now. The findings also show that the office and condominium sectors have seen the utmost supply on the edge, with 43 projects having stopped construction for over five years.

As only some parties have discovered the technical authenticities for these long-time skeleton buildings to restart construction, there are many issues that both developers taking into account re-establishing their projects and investors in view of taking over poised projects will have to take into account in terms of viability. For example, along with high-rise property projects that have been left incomplete for several years, it is hardly feasible that parts of the building structure and a number of built in systems that have been installed by now may be damaged by the atmosphere and due to the shortage of maintenance. Changing new systems can take additional time and be more expensive than installing the similar systems in a fresh project. The possible marketability of the projects by the time when they will be finished is another key subject to think about.