Indonesia & Asia · Thailand

Phuket retail space to grow almost 30% by 2029, Savills says

Savills (Thailand) expects Phuket's retail floor space to expand by almost 30% to 601,819 square metres by 2029. Shops are following hotels, branded residences and villas up the island's west coast.

News of Published in DOMA News: 3 min read

Key points

  • Phuket had 432,630 sq m of retail space at the end of 2025, 92.5% occupied.
  • Supply is projected to reach 601,819 sq m in 2029.
  • New community malls are concentrated in Bang Tao, Cherng Talay and Kamala.
  • Retail rents range from 700 to 3,000 baht per sq m per month.
601,819 sq mprojected Phuket retail supply in 2029
92.5%retail occupancy at the end of 2025
700-3,000 bahtmonthly rent per sq m depending on location
18-25%share of tenant gross profit some landlords collect

What happened

Savills (Thailand) has published a forecast for Phuket's retail property market. The consultancy expects shop and mall space on the island to rise by close to 30%, reaching 601,819 sq m by 2029. Developers are adding projects aimed at tourists, residents and foreigners who stay for long periods.

New openings this year include POP Phuket, a community mall from Central Land and Development. The Bangkok Post reported the forecast on 8 October 2026.

The numbers

At the end of 2025 Phuket had 432,630 sq m of retail space. Of that, 400,345 sq m was let, giving an occupancy rate of 92.5%.

Savills projects supply of 464,630 sq m in 2026 and 501,819 sq m in 2027, rising to 601,819 sq m by 2029.

Phuket City is the biggest retail district, with 163,630 sq m or 37.8% of the total. Patong follows with 104,000 sq m, or 24%. Cherng Talay holds about 61,000 sq m, a 14.1% share.

Retail follows the villas

Phattarachai Taweewong, senior director at Savills, says Phuket is turning from a holiday destination into an international hub for tourism and services. In his view, investment is redrawing the island's urban map.

Retail is drifting away from the old commercial and tourist centres. It is moving towards the newer residential and resort clusters on the west coast. Luxury hotels, branded residences and upmarket villas are driving that move, along with a rising number of long stay foreign residents who have money to spend.

Community malls, smaller centres serving nearby residents, have multiplied over the past three years. New schemes cluster in Bang Tao, Cherng Talay and Kamala, where housing and resort building continues. Taweewong sees Cherng Talay as a possible new hub for shopping and leisure aimed at wealthy residents and visitors.

Rents and competition

Monthly rents run from 700 to 3,000 baht per sq m, depending on location and format. Prime community malls achieve 1,200 to 1,500 baht. Sites that serve big spenders reach 2,000 to 2,500 baht, and a few top 3,000 baht.

Some projects add a cut of around 18 to 25% of tenant gross profit on top of base rent. That lets landlords share in how well their tenants trade.

More supply between 2026 and 2029 will sharpen competition in Phuket City, Bang Tao and Cherng Talay, Thalang, Patong and Rawai. Taweewong expects winners to stand out through concept, brand mix and visitor experience rather than sheer size.

The market is also diversifying. Growth spans large shopping centres, community malls, lifestyle malls, destination retail and wholesale formats. Shopping is increasingly woven into homes, hotels, restaurants and entertainment.

What it means for Bali

Phuket and Bali chase the same buyers: affluent foreigners who come for long stays and buy villas. The Savills data show that on Phuket this demand is already reshaping infrastructure. Shops, restaurants and leisure are moving to where villas and branded residences are going up.

For a buyer weighing the two islands, that could make Phuket's villa districts more convenient over time. Bali has to match it with comparable services around its own villa areas.

The report covers Thailand only and contains no figures for Bali. The lesson still travels: how livable an area is for long stay residents depends on what is built around a villa, not just on the villa itself.

What happens next

Savills expects supply to reach 464,630 sq m in 2026 and 601,819 sq m by 2029. Watch the opening of POP Phuket and whether new west coast malls lift demand for nearby villas.

What it means for investors

When comparing Bali with Phuket, look beyond the villa price to the shops, restaurants and clinics within a short drive. On Bali, check the RDTR detailed zoning plan to see what commercial uses are allowed next to the plot, since that affects both convenience and noise. We check the zoning around a property before a deal. The Savills forecast is about Phuket retail space and says nothing about villa prices.

Open the ROI calculator

Q&A

How much retail space will Phuket have in 2029?

Savills (Thailand) projects 601,819 sq m, up from 432,630 sq m at the end of 2025.

Where is Phuket retail growing fastest?

Community malls have expanded quickly over the past three years, with new projects concentrated in Bang Tao, Cherng Talay and Kamala on the west coast.

Does the forecast say anything about Bali?

No, it has no Bali figures. It shows how foreign villa demand is reshaping infrastructure on a competing island.

Source
Bangkok Post Property, published October 8, 2026, language: English

Prepared by the DOMA editorial team from public reports, with the original source linked above. This is a news review, not legal or tax advice. Not a public offer.

We'll match a villa to your brief

Tell us your budget and goal and we'll send a shortlist with prices, floor plans and a yield calculation. No pushy calls.