Thailand: Foreign investment in Thai property market drops sharply.

Section: Business News - Uncertainty has kept everyone on edge but this period, too, will pass, the Bangkok Post reports.

Foreign investment in Thai real estate plunged after the global credit bubble burst and stock markets see-sawed wildly, says Longlom Bunnag, the chairman of Jones Lang LaSalle in Thailand.

Some planned deals disappeared for the agency this year and it has found investors are demanding a higher return on investment.

One foreign group still in the market is the high-risk, high-return faction. "These people will invest with reduced ability to borrow, meaning they can't get any more loans from the bank so they have to rely on co-investment with foreigners," said Mr Longlom. "This type of project lasts from three to five years." Another group has a longer horizon of seven to 10 …