Phang Nga: Thailand’s Emerging Premium Real Estate Market

While Phuket remains the leading tourist destination in Southern Thailand, its northern neighbor — Phang Nga Province — is rapidly evolving into an independent premium destination, driven by a growing influx of tourists and active development in the hospitality sector. The resort area of Khao Lak plays a particularly prominent role, with the recent opening of a second Marriott-branded hotel and ongoing construction of the integrated Matalay complex.

In this article, we explore how the local real estate market is developing, what’s fueling the tourism boom, and why the current growth phase presents strategic opportunities for investors.

Steady Growth: Tourism and Hospitality

An increasing number of travelers arriving at Phuket International Airport are choosing to go further — crossing the Sarasin Bridge onto the mainland to reach Phang Nga. Many recognize its landscapes even before arriving: this province is often featured on postcards for its dramatic limestone cliffs rising from the bay, marine parks, and the famous James Bond Island.

2024 figures confirm the region’s growing appeal:

• 4.1 million tourist arrivals, up 23% from the previous year
• In Q1 2025, Phang Nga welcomed 1.1 million visitors, a 9% year-on-year increase

European travelers made up the bulk of international arrivals, accounting for 78%. The remaining 22% came from Asia, Oceania, and the Middle East.

Hotel performance is also rising in parallel. Occupancy reached 79%, an 8 percentage point increase year-over-year.

Khao Lak, the province’s flagship resort zone, is increasingly recognized as a destination for extended, peaceful stays — as reflected in key Q1 2025 metrics:

• Average Daily Rate (ADR) increased 7% year-on-year
• Revenue per Available Room (RevPAR) grew 6%

In 2024, ADR rose 24% compared to 2019. Growth was particularly strong in the luxury and upper-upscale segments (+28%) and the upscale to upper-midscale range (+40%).

Additional factors supporting this upward trend include:

• Expansion of Thailand’s visa-free policy to 93 countries
• More international flight connections in the winter season
• Improved air access to key feeder markets

Real Estate and Infrastructure Momentum

Land values in Phang Nga are steadily rising, supported by the surge in premium resort development and high-end villa projects.

Transport infrastructure is playing a major role in boosting the region’s investment appeal. Key initiatives include:

• Enhanced road connectivity to Phuket
• The planned Phang Nga-Andaman International Airport near the Sarasin Bridge (projected capacity: 22.5 million passengers annually)
• The Maritime Hub Project, creating a sea route linking Phuket, Koh Yao, and Krabi — cutting travel time by nearly half

In parallel, the Phang Nga Tourism Association is in talks with ride-hailing platforms Bolt and Grab to expand their services in the area — improving mobility for tourists and residents alike.

Next-Generation Projects: Aquella Lakeside

One of the most prominent examples of Phang Nga’s investment potential is Aquella — a large-scale beachfront resort on the shores of the Andaman Sea. Upon completion, it is expected to become one of Asia’s leading integrated resorts, featuring residential and hotel zones, an 18-hole championship golf course, a tennis academy, beach infrastructure, and a private country club.

👉 SUNWAY says

Sunway Estates is proud to offer the project’s first residential component — Aquella Lakeside, an exclusive collection of 14 villas overlooking a serene lake at the heart of the golf course.

Aquella will be developed in phases over the next 10–15 years and is already becoming a defining growth point for the region — with exceptional mid- and long-term value appreciation potential.

Strategic Investment Outlook

Phang Nga is entering a transformative phase. Large-scale resort developments, upgraded infrastructure, and strong, consistent tourism demand are making the region a strategic hotspot for premium real estate investment.

For investors, this is a window of opportunity to enter a growing market before it reaches maturity. Forecasted price growth, strong demand in the high-end segment, and limited primary supply create the foundation for above-market returns.

If you'd like to be among the first to receive updates on exclusive presales and high-potential opportunities in Phang Nga, get in touch with our team today.

Source: Khao Lak and Phang Nga Hotel & Tourism Market Review May 2025, C9 Hotelworks