Phuket Gets $836M Luxury Development
Thailand's Central Group is investing $836 million to transform Phuket into a global luxury destination. The massive project by its Central Phuket subsidiary includes high-end residences, retail, and hotels designed to attract international investment and affluent residents to the island.
The project is a major expansion of the existing Central Phuket mixed-use complex, increasing its total space by 40% to 500,000 square meters by its completion in 2028. This initiative is seen as a strategic move to shift Phuket's economy from being primarily tourism-driven to a year-round residential and lifestyle market. The expansion is planned in three main phases. Central Phuket Floresta will double its luxury retail space by the fourth quarter of 2026. By the first quarter of 2028, Central Phuket Festival will be home to over 250 fashion brands, including the largest ZARA flagship store in Southeast Asia. A 5.5-acre "Attractions Zone" with a purpose-built arena for events is slated for completion in the third quarter of 2028. A significant feature of the development is a new 20,000-square-meter culinary hub, which will be the largest in Phuket and will feature Michelin-recognized restaurants. This is part of a broader strategy to attract year-round foot traffic beyond seasonal tourists. This development is timed with a broader boom in Phuket's luxury market. Between 2026 and 2029, the island expects to see over 4,700 new branded residence units across 26 projects and more than 20 new luxury hotels, adding about 5,200 rooms. The Thai luxury residential real estate market was valued at around $71.27 billion in 2024 and is projected to reach $88 billion by 2030. The project is also supported by significant public infrastructure upgrades. Phuket International Airport is undergoing an expansion to handle over 18 million passengers annually. Additionally, a new expressway is planned to drastically cut travel times from the airport to key areas like Patong Beach.
