Nearly a year after the Royal Thai Army declared martial law, the hotel market has registered little to no problems in what was one of the country’s most unstable political periods.
Investors from around the world declared that the recent turmoil as well as the slowing economy has not affected the country’s potential in terms of the hotel business with tourism still being one of the major growth factors for Thailand.
A short term effect was felt immediately after the political turmoil started, however, nothing to the point of affecting tourism in the country’s most popular destinations like Bangkok of Koh Samui.
The continuous operation of airports and transportation services has diminished the effects of the political crisis, at least as far as tourists were concerned. While the economy had been dealt a significant strike, tourism was one of the only parts of the Thai economy that registered growth with new hotels and even other real-estate projects like condominiums being spurred on by increased foreign demand.
Hotel chain representatives declared that despite the unstable situation, the natural beauty of Thailand and the warmth of the Thai people were determining factors in the healthy growth of the tourism industry.
The impending real estate projects of 2015 are largely a combination of internal demand and interest from foreign nationals, particularly in some of the tourist friendly areas like Koh Samui.
Koh Samui has registered uninterrupted growth for a well over a decade thanks to a thriving tourism industry. New hotel chains have also set up camp in this naturally stunning area as what was a fringe destination, aimed at seasoned tourists has transformed itself into one of the world’s most famous spots for a dreamlike vacation. Luxurious resorts, fine dining restaurants and shopping districts that would rival anything that Bangkok has to offer have sprung up all along the beautiful coasts of the island with no sign of stopping.
A much needed series of infrastructure investments, which were recently announced by the new Thai government, can lead to further hotel investments in the area as accessibility and general power supply will be improved.
Residential projects can also be a growth factor for the island’s economy as demand is still quite high. It remains to be seen if 2015 will be marked by a steady growth in terms of the real estate market or whether more investments and stability is needed before the market can regains its pre-political-crisis growth rate.