| Home Type |
Live area |
Priced |
| Lanna Villa Townhouse, One bedroom |
85 sq. meters (913 sq. ft.), fully furnished |
3,300,000 Baht (Approx. 59,000 Pounds / 68,750 Euro / $98,000 U.S.) |
| Lanna Villa Duplex, Two bedrooms |
118 sq. meters (1268 sq. ft.) |
4,100,000 Baht(Approx. 74,000 Pounds / 86,000 Euro / $120,000 U.S.) |
| Lanna Villa, Three bedrooms |
236 sq. meters (2539 sq. ft.) |
8,000,000 Baht (Approx. 143,000 Pounds / 167,000 Euro / $235,000 U.S.) |
| Lanna Villa, Four bedrooms |
420 sq. meters (4515sq. ft.) |
12,000,000 Baht (Approx. 215,000 Pounds / 250,000 Euros / $350,000 U.S.) |
A Healthy Investment in Your Future
The Residences’ initial offering was successful with eighty percent of the properties sold in advance of building its first model home. Furthermore, The Spa Resorts have enjoyed steady occupancy rates of 80%-90% due to its long-time, loyal clientele of over 5000 guests worldwide.
The investment climate in Chiang Mai is good. The largest retail operation in Thailand has announced the addition of a new Central Festival Department store and mall on the ring road. The company plans to invest $150,000,000 in this, their third department store in Chiang Mai. Earlier this year Creative Kingdom Inc. Hollywood, Calif. announced the planned “Movie Town” in Chiang Mai’s San Kamphaeng district. This will be a $235,000,000 investment on 30 Rai of land. These new expansion plans reflect the improved political and economic climate in Thailand.
Five year projection
Based on a 2-bedroom, Lanna Villa Duplex with participation in rental program
Purchase price of 4.1 million Thai baht
Rental rate of 4,500 baht per night with a 20% increase beginning in year 5.
Owner management profit share 75% owner 25% management
|
|
Year 1
|
Year 2
|
Year 3
|
Year 4
|
Year 5
|
TOTALS
|
|
Occupancy Rate
|
30%
|
40%
|
60%
|
80%
|
80%
|
|
|
Daily Room Rate
|
4,500
|
4,500
|
4,500baht
|
4,500
|
5,400
|
|
|
Gross Income
|
657,000
|
985,500
|
1,314,000
|
1,314,000
|
1,576,800
|
5,846,800
|
|
Owners Income
|
4,385,100
|
|
Owners estimated expenses ie. Property tax, maintenance fees, etc.
|
285,000
|
|
Owners Net Income over 5 years
|
4,100,100
|
Thai Baht (THB)
For the purpose of these projections, occupancy rates are based on an initial 30% average and increasing over 4 years to 80%. Very conservative figures when compared to actual occupancy rates at existing Spa Resorts.
Based on these conservative projections, a 2-bedroom, Lanna Villa Duplex will pay for itself in approximately five years. This represents an average annual return of 20%.
