Banyan Group eyes further expansion in Phuket

The Singaporean property developer has 9,000 units in the pipeline for Phuket and other areas.

Banyan Group will develop $1b worth of luxury homes in the next two to three years on Thailand’s Phuket Island, where it expects an influx of foreign buyers amidst a surge in property development. 

The Singaporean property developer, which manages and develops resorts, hotels and spas in Asia, America, Africa, and the Middle East, has 9,000 units in the pipeline for Phuket and other locations, Ho Kwon Ping, founder and executive chairman at Banyan Group, told Asian Business Review. 

“We’re seeing a huge demand for new homes in Phuket due to a whole range of factors from trends such as urban flight, work from home, geopolitical issues, and simply the fact that Phuket has become a great place to live with world-class international schools and hospitals and all the benefits of a year-round tropical lifestyle,” he said. 

“High-quality property is still significantly cheaper in Phuket than in most of the buyer source markets like Hong Kong, Singapore, or Europe, which is also an important factor,” he added. 

Banyan Group, which was set up in 1994, has 3,000 units under its property portfolio in Phuket, with 700 more units under development. These properties are owned by 4,000 people from more than 80 countries. 

Phuket’s global connectivity and strong tourism industry continue to drive Banyan Group’s expansion in the region. The tropical city boasts direct flights from 67 countries and was the 14th most visited city globally in 2023, with 9.89 million visitors, according to Mastercard’s Global Destinations Cities Index 2023. 

In 2024, the company announced eight new projects with a total development value of $425m. It intends to develop larger branded apartments and penthouses on prime beachfront sites within Laguna Phuket, with some units spanning 500 to 700 sq m. 

A key selling point of Banyan Group is its commitment to building a community rather than just houses. Owners of both premium and affordable units get the same high-quality amenities. 

“Our new strategy is to focus solely on quality high-spec residences, regardless of their size,” said Stuart Reading, managing director at Banyan Group Residences. “It’s a bit like when you buy a car from a luxury car brand like BMW or Mercedes, even if you are buying a smaller vehicle, you know that the quality and craftsmanship is still on the same level as the top-of-the-range models.” 

The hospitality group offers owners services such as property management, insurance, healthcare, and education. For leisure, the group offers amenities such as a golf course, luxury spas, and fine dining. 

Ho said the company develops real estate in areas with a strong domestic market, such as Phuket, or regions where external market demand is expected to rise. 

“Southeast Asia, like Phuket, is very interesting because the whole world is coming to buy properties here, and Thailand is more or less a middle-income developing country,” he added.

Aside from Thailand, Japan is also a promising market for foreign investment in property, Ho said. “Japan is very mature and a very developed country. There’s not so much domestic interest, but in terms of foreign interest in property, Japan is hugely promising.” 

Foreign investment in Japan's real estate market reached $10.2b in 2023, according to E-Housing Japan. “Japan is Asia's second-most popular country for foreigners to buy property, ranking after Thailand.” 

Banyan Group operates eight hotels in Japan under five brands, including Banyan Tree, Garrya, Dhawa, HOMM, and Folio.