Bangkok branded residences saw the highest price premiums during 2017, according to new research.
The prices of Bangkok branded residences were noted ad being 132 percent above similar non-branded equivalents, according to real estate firm Knight Frank and its newly-released Branded Residences report.
The premium for Bangkok branded residences was the highest in Asia, and was followed by Kuala Lumpur (69 percent above non-branded equivalent properties), Manila (36 percent) and Phuket (8 percent).
According to the report, branded residences are attracting significant premiums in many Asian cities, and premiums are driven primarily by location.
Branded residences are seen by many as trophy assets, and despite the increased costs they are noted as attracting both end-users and investors.
Bangkok branded residences include those from Ritz-Carlton, St Regis and Banyan Tree, for example.
Head of Residential for Knight Frank in Asia-Pacific, Victoria Garrett, noted that the fast-growing, ultra-wealthy population in Asia is fuelling demand for branded residences and these buyers favour branded residences that offer convenience and high-quality services delivered by a trusted brand and with the potential for capital appreciation.
Knight Frank’s Global Head of Research, Liam Bailey, said that the global branded residences sector is growing exponentially, and they can now be found in almost every major city and major holiday destinations today.
He added: “The market in Asia for hotel-branded residences has seen strong growth, particularly in Thailand and Indonesia, with Asia now accounting for an estimated 30 percent of 400 developments globally.”
“This trend is set to continue,” he concluded.