From Condominiums to Hotels: Building Pattaya for the Long Term

Expert Views with Hans van den Born | Dutch | Executive Director, Netherlands-Thai Chamber of Commerce (NTCC)

Few people have witnessed Pattaya's modern transformation as closely as Rony Fineman. Over almost four decades, he has moved from hospitality management into condominium development and, ultimately, long-term hotel ownership. Here he shares the lessons behind that journey - from timing and location to international brands and Pattaya's next chapter.

Q U E S T I O N 1

When you first arrived in Pattaya nearly four decades ago, what did you see that convinced you to build your life and businesses here?

When I first arrived in Pattaya in 1986, I immediately felt it was a land of opportunity. Visitor numbers were growing, yet there was very little on offer. There was only one major supermarket, and even something as simple as decent bread was difficult to find.

I loved the people, the food and the weather, so I thought: why not try living here for a while and see how it goes? In 1989 my son was born, and by then it felt natural to make Pattaya our home. Life could be tough, but it was also very affordable, so it did not cost much to establish ourselves here.

Q U E S T I O N 2

Nova Group subsequently developed projects including Nova Mirage, The Avenue Residence, The Cliff and The Palm. Looking back, what did condominium development teach you about location, timing and understanding buyers?

I was fortunate to begin developing when Pattaya had a genuine shortage of condominiums and accommodation. The timing could hardly have been better. Land and construction costs were still very low, while buyer payment structures often brought much of the money in upfront, so there was less need to rely on bank financing.

I also learned that location works differently for residential projects and hotels. For residential development, I do not believe there is necessarily a bad location if the property is marketed and priced correctly. Each location simply requires the right product and the right price. Hotels are much less forgiving.

Q U E S T I O N 3

You have said that Nova built condominiums to finance hotels. What attracted you to the longer-term hospitality model, and how does owning a hotel differ from developing and selling residences?

When you develop a hotel, it remains your asset for life unless you decide to sell it. A condominium project is built, sold and completed, and then you move on.

My earlier career was entirely in hospitality, including hotel management, so this was a business I understood well. I saw hotel ownership as a way to secure the future for myself and my family. Development could create money in the short term, but hotels were always the long-term plan.

"Development could create money in the short term, but hotels were always the long-term plan."

Q U E S T I O N 4

Your hotel portfolio now includes properties associated with Marriott, IHG and Centara. What have you learned about matching the right location, concept, operator and international brand?

The most important lesson is still: location, location, location. I can see a clear difference between hotels in prime locations and those in less desirable areas, especially in revenue, room rates and occupancy. All of our locations work, but the prime ones perform best. Looking back, perhaps I should have considered more beachfront land.

I also see clear value in international management companies such as IHG and Marriott. They help a hotel achieve stronger room rates, and many guests arrive through their own booking platforms. Local chains may have operating expenses that are not dramatically different, but they generally cannot deliver the same rate strength, international reach or direct website support.

Q U E S T I O N 5

Having watched Pattaya transform over almost four decades, what does the city need to get right in its next phase - and where do you still see the greatest opportunities?

Pattaya has changed significantly. Over the past ten years, the city has become much more focused on family tourism, attracting both Thai and international visitors. I believe that trend will continue to strengthen.

Music events such as Tomorrowland, the Pattaya International Fireworks Festival and many other attractions help keep the resort active and give people new reasons to visit. However, Pattaya's infrastructure urgently needs to improve. Drainage, roads, traffic management and public transportation all need serious attention.

 The opportunity is still very much there, particularly in family-oriented activities and experiences. The city now needs infrastructure that can support the destination it is becoming.

Expert Views is a Town & Country Property editorial series featuring first-hand perspectives from people who help shape Pattaya and Thailand. Approved by Rony Fineman for publication.