In Q4 2019, the condominium market continued to be weakened with a slow sales rate and a decline in number of newly launched units. As for the entire year of 2019, the total number of newly launched units was decreased by 16% Y-o-Y. Developers have become more cautious when launching new projects in this market situation. We have seen developers relaunching projects with adjusted pricing, while others closed their sales gallery in some projects and delayed launches until the market show sign of recovery. We expect to see more development revisions and discounts from projects in terms of product, pricing, and target buyers to survive the competition from new projects which focus more on affordability.
Thailand’s top five market feeders are from China, Malaysia, India, Korea and Laos. Chinese tourists showed promising signs of recovery with double-digit Y-o-Y growth in Q4 2019, totalling 10.9 million arrivals in 2019, increasing 4.4% Y-o-Y. Malaysian tourists continued to be the second largest market feeder with 4.2 million visitors, an increase of 1.7% Y-o-Y. Indian tourists had a remarkable 25% Y-o-Y growth to 1.9 million visitors, making India the third largest and fastest growing market feeder in 2019.
The overall occupancy rate for Bangkok office market increased slightly to 93.1% from 93.0% in the previous quarter. Since there was no completion of new buildings, the overall Grade A office occupancy increased to 95% from 93.8%. Meanwhile, the overall occupancy for Grade B offices slightly decreased to 92.6% from 92.7% in Q3 2019. The occupancy rate for both grades may decrease further due to the influx of future supply in 2020.