Singapore-based crowdfunding company CoAsset has revealed that investors in Thailand development The Lai Thai will be getting their first 7 percent payout later this month.
Getty Goh, Chief Executive Officer of CoAssets, said: “We are happy to learn that the developer of The Lai Thai in Krabi will be making a pay out to crowd funders this month.
“Such positive news reinforces the viability of crowdfunding and demonstrates yet another aspect of how crowdfunding can be applied to the real estate market.”
Robert Reynolds, Director of Thai Treasures Pte Ltd. “We came across many investors who were keen to invest in The Lai Thai but did not have enough funds to buy a unit outright. There were also investors who wanted to just ‘dip their toes in’ by investing a small amount, before deciding whether they should get a loan to buy a whole unit.
“Hence to meet the needs of these investors, I used CoAssets to help aggregate these interested parties so that they can co-own a unit together. I see this as a really good way to help some of my close investors benefit from the growth of Krabi, without the need to buy an actual unit.”
The Lai Thai is a mixed condominium development that is a stone’s throw away from Ao Nang beach, one of the top beaches in the region. The Lai Thai has more than 80 residential units and a portion of the development will operate as a hotel when the project is completed.
Reynolds added: “When it comes to Thailand, I believe that Krabi holds exciting potential. One key reason behind this is the rapid infrastructure development that is fuelling the growth.
“For example, the expanded Krabi International Airport is now serving direct flights from parts of Europe, Scandinavia and even China. All these are bringing in tourists by the drove and a testimony is the high occupancy rates that the hotels are seeing. Even for The Lai Thai, which will only open its doors next year, we are already seeing strong advanced booking. Barring any unforeseen circumstances, we expect to see net rental returns of more than 15 percent annually.”
At present, more than 80 percent of the foreign allotment units have been sold. The expected completion date of The Lai Thai is in the first quarter of 2015.
Andrew Batt, International Group Editor of PropertyGuru Group, wrote this story. To contact him about this or other stories email andrew@propertyguru.com.sg
