A summary of the findings are as follows:

Approximately 200 serviced apartment units are scheduled to be completed in 2016.

• New serviced apartment projects each year have continued to remain low during the past few years.
• Many expats are moving to luxury / high-end apartments or condominiums along Sukhumvit Road due to lower rents.

The average occupancy and rental rates in all locations have remained similar to those in the previous quarter.

• Serviced apartment projects try to retain current customers by maintaining the rental rate or increasing by only a few percentages.
• The number of expatriates in Bangkok has increased every quarter, especially the Japanese.
• Average occupancy and rents may slightly increase in 2016.

The serviced apartment market is facing a tough time from many factors in the past few years as well as in the future.

• The Thailand Hotel Association (THA) is trying to push all serviced apartments to apply for hotel licenses.
• Intense competition with condominiums and luxury or high-end apartments is the other main factor affecting the serviced apartment business.
• Land prices in the inner city area of Bangkok are not suitable for the development of serviced apartment projects.

Other areas outside Bangkok CBD have become more popular for serviced apartment development.

• The creation of many new extension lines is the main factor driving new serviced apartment development in other areas.
• Lower rental rate is another factor for serviced apartments in areas outside the CBD.

View the full report here.