Advantages of the VIP KATA Condominium
In the new project of the condominium in Phuket, in the Kata area, we identified three main advantages that determine the strategy of sales and management of the complex in the future.
- Concept of a family hotel near the sea
- Guaranteed income
Below is a brief description of the project and a detailed explanation of each point of advantages.
Brief description of the project
The completed project of the VIP KATA Condominium will consist of 4 buildings with 378 apartments. The construction is divided into two phases (phases): 1 phase – 2016-2018, 2 phases – 2018-2020.
Both phases will be operated as a hotel complex with its own internal infrastructure. Buyers (investors) receive income from renting apartments at a rate of 7% per year. The first lease agreement is signed for up to 8 years.
- June, 2018 – Permits received
- July, 2018 – launch of the hotel in the first phase of the condominium
- August, 2018 – the construction of the second phase of the condominium
- June, 2020 – planned completion and commissioning
More detailed information about the complex and news of current construction you can see on the project page.
Kata district is one of the most popular areas of the island of Phuket with developed infrastructure. Close proximity to two beaches (Kata and Karon), tourist attractions and entertainment.
1.1. Beaches in walking distance
Three magnificent beaches, two of which are within walking distance from the VIP Kata Condominium:
- Kata Beach is a beautiful bay with a blue ocean, located just in 500 meters from the condominium (5 minutes walk).
- Karon Beach is a wide beach with a “singing” sand length of 5 km. Located 900 meters (10 minutes walk).
- Kata Noi Beach is a small cozy beach at a distance of 2 km from the project, a shallow and long entrance to the water, comfortable with small children.
1.2. A wide street
The residential complex VIP KATA Condominium is located on a new wide street in the Kata district. New Pathak Road is one of the few streets in the district, the width of which allows you to park near the curb, and also has comfortable sidewalks.
1.3. Local infrastructure
The infrastructure of the area within a radius of 500 meters around the VIP KATA Condominium includes:
- Restaurants of European and Asian cuisine;
- 24-hour grocery stores (7-11, Tesco Express, Familymart);
- Grocery supermarket Macro;
- Massage parlors;
- Tourist offices;
- Mini-golf park and restaurant;
- Two markets (day and night);
- Pharmacies, dental clinics.
1.4. Another infrastructure
- Big Buddha statue – 10km;
- Chalong Temple -10km;
- Patong Beach – 10km;
- Supermarket of imported products Villa Market – 5km;
- International School Hedstart – 10km;
- International Hospital – 10km;
- Central Phuket Shopping Center – 15km;
- Jungceylon Shopping Center – 15km;
- International airport – 45km.
2. The concept of a family-friendly hotel
2.1. Quality of construction
The company Phuket9, in addition to construction, acts as a management company. The next decades the real estate constructed by the company, will be in management. The accumulated experience in leasing objects tells us how high quality should be for effective management.
The contract of sale includes conditions for guaranteeing the quality of architecture for 5 years and finishing, for a period of 1 year. Breakage and defects caused by the guests during the operation of the lease agreement are eliminated at the expense of tenants.
2.2. Furniture and decorations
Apartments in the condominium VIP Kata are sold with a full package of furniture and decorations, included in the price. The efficiency and profit of the management company also depends on the quality of the finish, furniture and design. The furniture collected by the company is easy to repair and restore in a short time.
2.3. Infrastructure of the condominium
- Underground parking – 68 parking spaces under the buildings of the condominium. In addition to them, there is the possibility of parking on the street.
- Gardens on the roof – the roofs of both buildings of the condominium are occupied by gardens with trees. Some apartments have a private garden.
- Pools – two large public pools. One of them is located on the roof of Building A, the other in the courtyard of Building B.
- Family Park – the construction of the park is planned for 2019.
- Additional conveniences:
- Lobby and reception service;
- Two restaurants, bars by the pools;
- Gyms and spa;
- Children’s playroom.
3. Guaranteed income
Investors have the opportunity to receive a fixed return on investment, using the guaranteed rental program.
Income of 7% per annum for a period of up to 8 years
Owners receive a fixed income regardless of the occupancy of their apartments. In addition, you can stay free of charge in your apartment for up to 30 days in the period from May to October. For accommodation in any other period, the cost of living at a special price for owners is deducted from the annual income. Another bonus is the opportunity to reside in other hotels of the company at special prices.
Full management of real estate falls on the shoulders of the management company and includes: transfers of guests from the airport, the process of accommodation and eviction, the service of residents, breakfasts in restaurants, cleaning and maintenance of the apartments, as well as paying bills for electricity, water, cable TV, Internet , repair and restoration of damages, withholding and payment of taxes. Owners are spared from worries and receive income on an account in a Thai bank (opened when signing a lease agreement).
After registration of the property the apartments in the condominium are fully ready for occupancy or rental. There is no need to buy bed linen, towels, cups, forks, spoons, household appliances, etc. No additional investment or fees for “rental packages”.
Expected growth in property prices
Last 10 years, the cost of property in Phuket annually increases by 5-10%, depending on the location. Since 2014, almost two times the tourist flow has increased. Since Phuket is the size of Singapore is very limited in land and zones allocated for construction, it is to be expected that the next 5-10 years the cost of land will increase.
Registration of property
VIP KATA Condominium offers two options for property registration:
- Freehold – registration in the ownership of an alien, a quota from the entire number of flats 49%.
- Leasehold – registration of property in a long-term (30 years with the possibility of a two-fold extension to 90 years) rent. The quota from the total number of apartments in the condominium is 51%.
Both variants of registration are equally assured in the Land Department of Thailand. In both cases, the owner receives documents on the property in the form of a “cadastral statement” (Title Deed or Chanode) and an apartment certificate, both on a building (House Book).
Cost and payment terms
The cost of apartments starts from 125,000USD for a one-bedroom apartment or studio, with an area of 30 sq.m. Payment can be made at construction stages, or completely, receiving certain benefits.
The cost of apartments that are issued in a freehold or a leasehold is 8-10% lower for a “leasehold.”
A registration tax of 1.25% of the apartment value is payable separately. Contribution to the “fund of condominium” (sinking fund) in the amount of 400 baht per sq.m. Annually, with rental income, the fee for condominium services is 720 baht per sq.m. and a profit tax of 5% of the fixed income amount.