The new governor of Bangkok, Chatchar Sittiphunt, continues to work on the implementation of his ambitious policy. Many are wondering whether his policy will affect the development of real estate in the capital of Thailand? He has experience in the real estate industry, previously the governor worked in the construction companies Quality Houses and Land and Houses. This experience can be a boon for the real estate market.
The policy of revision of urban planning and construction legislation in accordance with the current market requirements was announced. Many regulations are outdated and do not take into account the current development of real estate, which hinders the systematic development of urban planning.
Affordable housing in the capital is also on the agenda of the new governor. Recent graduates, in particular, face difficulties because most of their salaries are spent on rent or mortgage, as well as on travel to work. This negatively affects their ability to accumulate money. One of the directions of the new governor's policy is the creation of so-called housing incubators, where newly minted graduates aged 18 to 25 years will be able to rent housing at a lower price for five years. This policy opens up an opportunity for this group to save more and improve their financial situation. It is proposed to turn old buildings that are no longer suitable for commercial use and buildings awaiting restoration in the central business district into these incubators. However, this will have a direct impact on the rental market in the city, increasing competition and probably reducing achievable rental rates for projects targeted at this group of renters.