Investors looking for hot iron to strike in Asia can still turn to Thailand. Just look at the turn out for May's Thailand Hotel Investment Conference, part of Questex's IHIF series.
Further, according to Jones Lang LaSalle, Thailand remains attractive for hotel investment thanks to a wide range of reasons.
Andrew Langdon, executive vice president for JLL's hotels and hospitality group, tells Asia One that Thailand is still one of the most attractive places for hotel investment despite setbacks caused by the coup in May.
"Political problems have eased since then and a lot of tourists should return to the Kingdom during the coming high season," the article continues. Langdon says the average daily room rate at mid- and large-scale hotels had grown although occupancy had declined.
In the first six months of 2014, hotel transactions throughout Asia were valued at $3 billion, which had already exceeded the total amount of transactions by value for all of 2012.
"Thai hospitality funds are still small, with average net asset value of Bt2.24 million excluding the Thai Hotel Investment Fund," the article reports. "THIF is largest property fund in Thailand, representing just over half of the total asset value of all hospitality property funds in the country. With the recent establishment of real estate investment trusts (REITs), JLL expects hotel investment activity to increase."
Phuket is a prime location for hotel development, because it is a famous tourist destination and has become a multinational community. Connectivity is a huge factor for hotel development, as well. Foreigners are able to travel directly from Scandinavia, Hong Kong, Singapore, mainland China, South Korea, the Middle East and Malaysia.