Retail real estate in Thailand has suffered from the rapid spread of online shopping in the country. However, the online market has not been able to completely disrupt conventional stores and shopping malls, as people still enjoy offline experiences, such as eating out, which is not possible in digital format.
In the Kingdom, landlords and tenants have found new ways to collaborate, striving to provide buyers with the best possible experience. Notable changes include the creation of controlled zones that operate according to the GDP distribution scheme, rather than by lease, and the introduction of technologies that combine online and offline elements. Both are important for retailers looking to save money and produce offers that are more relevant to consumer needs.
Competition in Thailand's retail real estate sector remains fierce, and Bangkok remains a hub of activity. According to CBRE, six large shopping complexes are under construction, and seven more projects are under development. Two of them, Bangkok Mall and EmSphere, will have large arenas for sports, concerts and other events as they hope to launch new features beyond what is currently available.
Another trend in the field of retail real estate in Thailand, which is worth following, is the development of medium-scale shopping centers outside urban centers. Now they are needed to meet the needs and lifestyle of suburban residents living in low-rise buildings on the outskirts of central districts.